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As many as 2 million pensioners could face the cold following winter fuel payment cuts says Age UK

Published on 31 July 2024 03:12 PM

Age UK has marked their opposition to the Chancellor’s proposal to means-test winter fuel payments, estimating that nearly 2 million pensioners could face difficult decisions come winter.

The government is proposing qualifying payments with people on pension credit, but with 1 in 3 people qualifying for pension credit payments, not claiming their entitlement, the proposal could see many vulnerable people struggling to heat their homes.

Age UK have stated that the proposed changes will disproportionately affect those with high energy needs because of disability or illness, as well as those who do not claim their entitlement to pension credits or are just shy of the threshold for support, seeing these groups lose out on support of up to £300 come winter.

In Norwich, Policy in Practice estimate £5.47 million is unclaimed across 3,000-5,000 households. Across the country, 90% of Pension Credit claims are successful (Age UK), a mix of lack of awareness, difficulty in applying and stigma all impact claims that benefit the older person and the local economy.

Dan Skipper, Chief Executive Officer of Age UK Norwich said “We’re all acutely aware that bills have not dropped back to where they were before the cost-of-living crisis. Last year, 65% of people who contacted us was for advice on income, debt, housing or bills."

36.1% of Norwich wards fall within the top 10% most deprived areas in England. There has been a 35% rise in foodbank useage in the city, and fuel poor households is 15.5%, compared to 13.1% in England.

Mr Skipper added "This is a short-term view by the government. We’re already seeing the health impacts poor living conditions are driving, pushing people out of work, into hospitals and care, and health inequalities reducing overall life-expectancy. Anything that helps people stay well and independent is an investment into prevention, and reducing demands on health and social care, which we know is considerably more expensive for the tax-payer."

Age UK also estimate an additional 1 Million people who are just above the poverty threshold that will also not be eligible for support. The government’s own research briefing on the effect of cold and damp homes on health, stated “Living in a cold home can worsen asthma and other respiratory illnesses and increase the risk of heart disease and cardiac events.” (Health inequalities: Cold or damp homes - House of Commons Library (parliament.uk))

The Cost-of-Living Vulnerability Index is a sum of poverty-based vulnerability and work-based vulnerability indicators. A higher score indicates an area's relative risk of more people being pulled into poverty, and the relative risk of those already hard-up being pushed into destitution. Norwich scored 978, well above the 749 average.

Caroline Abrahams CBE, Charity Director at Age UK said:  "We strongly oppose the means-testing of Winter Fuel Payment (WFP) because our initial estimate is that as many as two million pensioners who badly need the money to stay warm this winter will not receive it and will be in trouble as a result – yet at the other end of the spectrum well-off older people will scarcely notice the difference – a social injustice.

Age UK has created a petition, asking the government to halt their proposed changes, this petition can be signed here: Sign the petition! | Campaigns | Age UK We are asking partners, clients and the community to join the call to this reform to be reviewed, by signing the petition today."