Sir Keir Starmer has declared intentions to broaden the eligibility for the winter fuel payment. It’s a move that sees him walk back a Labour policy aimed at reducing the benefit’s uptake to save funds.
The U-turn comes amid mounting pressure and criticism of a policy that last winter deprived millions of the annual payment, which can be worth up to £300. Both charities, such as Age UK, and campaigners have fought the fuel cut since it was announced last year.
Speaking at Prime Minister’s Questions, Sir Keir acknowledged: “I recognise that people are still feeling the pressure of the cost-of-living crisis, including pensioners.
“As the economy improves, we want to make sure people feel those improvements in their days as their lives go forward. That is why we want to ensure that, as we go forward, more pensioners are eligible for winter fuel payments.”
He added that the Government will “only make decisions we can afford” and hinted at reviewing this matter during the forthcoming fiscal event.
What is the Winter Fuel Payment?
First introduced in 1997, the winter fuel payment serves as a tax-free assistance designed to support older and vulnerable people in the UK with their heating bills during the colder months.
This benefit, overseen by the Department for Work and Pensions (DWP), is typically issued between November and December to those who meet the criteria.
Who is eligible for the Winter Fuel Payment?
Previously, the payment was accessible to everyone above the state pension age (currently 66) in the UK. However, new rules enforced by Chancellor Rachel Reeves for the 2024/25 tax year mean that only state pensioners on means-tested benefits will qualify.
Ms Reeves stated that this move would help save the Government between £1.3 billion and £1.5 billion annually. Under the new regulations, individuals are eligible for a winter fuel payment if they were born before 23 September 1958.
They must also live in England or Wales and receive specific benefits. This change has removed the payments from an estimated 10 million pensioners.
However, after increasing pressure from Labour ranks, Sir Keir has announced that the criteria will be altered again to make “more pensioners eligible” for the payment. The specifics of the new threshold, how many more will qualify, and when the changes will take effect are currently unclear.
Charities are concerned that hundreds of thousands will still not receive the payment due to “complex” benefit application processes. Lucy Bannister, head of policy and influencing at charity Turn2us, commented to say: “We welcome the Prime Minister’s indication that the Government plans to widen eligibility for winter fuel payment, helping more low-income pensioners to stay warm and safe this winter. We hear from people every year about the difference this support makes.”
The organisation raised concerns, arguing: “But we remain concerned that hundreds of thousands of eligible pensioners still miss out each year due to a complex application process, lack of awareness, and stigma. Many feel shame for needing support, a direct result of how benefits are too often talked about by politicians and the media. The Government must urgently ensure its narrative around its wider social security reforms reduces this stigma, simplify the system, and proactively reach those being left behind.”
How much is the Winter Fuel Payment?
The Winter Fuel Payment during the tax year of 2024/25 saw amounts ranging between £200 and £300, varying according to the recipient’s birth date.
People who live alone received:
- £200 if they were born between September 23, 1944, and September 22, 1958
- £300 if they were born before September 23, 1944
If a person and their partner jointly claim any of the benefits, one receives a payment of either:
- £200 if one or both were born between September 23, 1944, and September 22, 1958
- £300 if one or both were born before September 23, 1944
