Winter Fuel Payment (WFP) and pensioners

[Last updated 20/06/25]

The Government remains committed to helping low-income pensioners. Everyone in society deserves a comfortable and dignified retirement, and I want more pensioners to benefit from the Winter Fuel Payment.
 
That is why I welcome the announcement that all pensioners with incomes up to and including £35,000, as well as those on Pension Credit and income-related benefits, will receive the Winter Fuel Payment from this winter. Nobody will need to take any action to receive the payment, as it will be administered to all pensioners, before being automatically reclaimed from those earning above the threshold through the tax system.
 
The new threshold is significantly above the income of pensioners in poverty, and it will be paid to more than three-quarters of all pensioners. Means-testing the payment will save £450 million per year, compared to a universal approach, and have no effect whatsoever on pensioner poverty. This is not only fair, but it is also financially sustainable, with full costings to be set out in the Autumn Budget.
 
In the meantime, I support maintaining the triple lock policy. This means that the State Pension will continue to increase annually by the highest of inflation, average wage growth, or 2.5%. Thanks to the triple lock, the State Pension increased by a further £470 from April. Pension Credit was also uprated by more than 4%.
 
I know, however, that not enough low-income pensioners are claiming this important benefit. That is why the Government took immediate and vital action to boost its take-up shortly after taking office last year. Since then, the Department for Work and Pensions (DWP) has written to around 13 million pensioners about claiming Pension Credit. The DWP has also worked with charities and local authorities, and launched a campaign across radio, TV and print media. These efforts have already seen the number of successful Pension Credit awards increase by 64%, and they will continue. To guarantee even greater uptake, Pension Credit and Housing Benefit will be merged for new claimants, starting in 2026.
 
I note that many pensioners may also qualify for extra assistance via Attendance Allowance, the Warm Home Discount and Cold Weather Payments. In addition, I would urge any pensioner in financial hardship to contact their local council and find out what help is available via the Household Support Fund. This can contribute to the cost of essentials for those struggling to make ends meet.