A tough political week last week with the Government’s difficult decision to means test the Winter Fuel Allowance, restricting payments to low-income pensioners who qualify for the state pension and who also claim either Pension Credit or Universal Credit, writes Dr Simon Opher.
We’ve probably all heard stories of well-off pensioners giving their unwanted Winter Fuel payment to charity or to their grandchildren, which is obviously a nonsense. But while it makes sense to restrict this support to the least well-off pensioners, I am concerned about those people whose income is just high enough for them not to qualify, but not high enough for them to comfortably afford the cost of keeping warm in the winter months.
So, I spoke with the Chief Secretary to the Treasury, Darren Jones, to ask about the options for providing tapered payments to people just above the cut off. I hope the Treasury will be able to report back when Parliament recommences in September.
Of course, the other nonsense is that in the UK, our state pension is one of the lowest in Europe. Despite the so-called ‘triple lock’ of buying power protections for the current pension, the fact is that the world’s sixth wealthiest economy should look after its pensioners better.
But the real scandal is that around £2.1 billion in pension credit goes unclaimed each year. That’s about £3,500 a year that some of the poorest pensioners just aren’t claiming. And because they’re not claiming pension credit, they’re not getting the other benefits that it unlocks either – like council tax reductions and free dentistry and eyecare.
I’ll be meeting with Stroud District Council and charities that work with older people to find these pensioners and encourage them to get what they’re entitled to.
If you know someone who gets the state pension and might be entitled to pension credit and the winter fuel allowance, maybe give them a gentle nudge. You can find out more and get a printable guide at www.gov.uk/pension-credit.
