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Keir Starmer announces cuts on winter fuel payments

    Keir Starmer announces cuts on winter fuel payments

    Keir Starmer announces cuts on winter fuel payments

    Paul Seddon

    Political journalist

    Sir Kyle Starmer, House of Commons, speaks on Prime Minister's questionHouse of Commons

    Sir Keir Starmer has announced plans to alleviate cuts in winter fuel payments, with political pressure increasing in recent weeks.

    Last year, pension recharges lost payments after economic testing, worth up to £300.

    Sir Kyle said on the Prime Minister’s question that ministers will change the threshold to allow “more pensioners” to qualify again.

    But it is not clear how many people will regain their rights to payments, or when the changes will take effect.

    Sir Kyle said the policy would be changed on the automatic budget, adding that ministers would only “make decisions that we can afford”.

    Winter fuel payments are £200 per year for pensions, households under 80 years old, while households over 80 years old are £300.

    It was previously paid to all pensioners in November or December, but last year the government limited eligibility to those who were eligible for pension credit and other income-related benefits to save about £1.4 billion.

    The move, announced shortly after taking office in July last year, has attracted severe criticism from trade unions and pension charities.

    However, in recent weeks, pressure on changing the line has grown, with some Labor MPs and MPs blaming the party for losing policies in local elections in parts of England last month.

    From the beginning of MPs complaining, the remaining labor force is often spread more widely to the party, and even MPs defending the policy say it is the most common question raised by the public.

    Former Labor Prime Minister Gordon Brown, who introduced winter fuel as a general interest when he was prime minister, said Sir Keir was “right” to reconsider.

    He told the BBC: “If they serve the country all their lives, if they can’t afford heating because they don’t have the funds, they should not be forced into poverty.

    “I think Keir means that we will be fair to pensioners.”

    “The longest turn”

    It is believed that in the next month’s spending review, changes in the approach can be confirmed, when the government will develop departmental budgets in the coming years.

    However, Sir Kyle confirmed the policy with a surprise move to deal with the labor seats of the Prime Minister’s problem.

    Conservative leader Kemi Badenoch did not immediately respond to the announcement, waiting until the fourth of her six questions were mentioned.

    She later denied that her script was wrong, telling reporters that she first “had to talk about” the increase in inflation figures, and that her questions were in the order of “people who don’t care care.”

    She welcomed the “inevitable” turnaround, but called on the government to propose “early” details of their new approach, adding that the fall budget will be too late to change this winter.

    She didn't specify where she wanted to set new thresholds, but added that she didn't think “millionaire” should meet the criteria again.

    Liberal Democratic leader Sir Ed Davey welcomed the government's “longest turn” and called for a “complete” revocation of the cuts.

    Qualification Questions

    Income threshold for pension credit, eligible for continuing to receive key benefits from winter fuel, currently £11,800 In an individual year, the pension couple is £18,023.

    Now, designing a new income threshold will present political and practical headaches for ministers ahead of the fall budget.

    Possible options recommended by commentators and policy experts include linking it to lower council tax belts or expanding eligibility to those who receive housing or disability benefits.

    A think tank resolution foundation says there are “huge questions” in the creation of new specialized means of testing to get a top-up.

    It added that the most straightforward option is to expand the eligibility of pension credit eligibility – but warned that the price of expanding it by 10% by 10% would cost £2.5 billion, which is more than the original policy would save.

    One of the charities opposed to the cuts, UK Age welcomed it, but said any new regime should ensure that “low-income and moderate-income” pensioners can retain payments.

    Asked by reporters, a spokesperson for the prime minister refused to assure that this would be achieved in the upcoming winter, but added: “We obviously hope to achieve this as soon as possible.

    He added: “We can only make a decision when we can tell the source of the money and how to pay for it.”

    Triple lock

    The winter fuel payments introduced in 1997 are called a way to guarantee pensioners to heat up a home during the colder months.

    Since 2010, major countries have received additional protection under the “three locks” policy – ​​according to which pensions have the highest annual inflation rate, with an average income of 2.5%.

    State pensions rose 4.1% this year – those with basic pensions increased by £363 a year, while those with new pensions increased by £472.

    Winter fuel payments are decentralized, and the UK government is responsible for payments in England and Wales.

    Northern Ireland executives also shrank their payments last winter after layoffs, but retained a £100 top-up for all pensioners.

    The Scottish government also meant tested payments last year, but plans to offer a universal £100 payment next winter for those no longer eligible for the primary payment.

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