Winter Fuel Allowance

[Last updated 18/09/24]

The dire state of the public finances inherited from the previous Conservative government, has forced the new Government to make very difficult decisions to means test the provision of the Winter Fuel Allowance (WFA). The WFA will automatically be provided to pensioners claiming Pension Credit.

I want to make clear that the means testing of the WFA will not take place in isolation and that the Government is taking additional actions to ensure pensioners are not without financial support.

For example, I support maintaining the triple lock so that the value of the State Pension is protected. The Department for Work and Pensions (DWP) has recently announced the value of the State Pension will increase by £400 from April 2025 at a rate of four percent. That is above the current rate of inflation.

The Chancellor of the Exchequer has also announced her support for a greater take-up of Pension Credit. To ensure this happens, the DWP is working with charities and local authorities across the country to raise awareness of Pension Credit and to support eligible pensioners apply for it.

It is vital that eligible pensioners apply for Pension Credit. If you are affected, or know anyone who might be eligible, please go the following website page, Pension Credit: How to claim - GOV.UK (www.gov.uk), or call 0800 99 1234to speak to someone over the phone.

Additionally, the Secretary of State for Work and Pensions has tasked her Department with ensuring that other benefits, such as Housing Benefit, qualifies recipients to claim Pension Credit. I support this cross-departmental approach taken by the Government to ensure that all those eligible for Pension Credit will be able to claim it this winter.

I do recognise that you would like to see a different approach. As I have stated, this was a difficult and unexpected decision for the Chancellor.

The previous Conservative government left a projected overspend in the public finances of £22 billion this financial year alone. If left unaddressed, the budget deficit would have increased by some 25%. That would have risked additional economic shocks which the public, including pensioners, could ill afford.

Given the state of the fiscal inheritance, we must fix the foundations of our economy and bring back economic stability. The Chancellor will set out more details about her plans when the Budget is delivered on 30th October.