Around 780,000 pensioners in the United Kingdom, specifically in England and Wales, may lose their entitlement to winter fuel payments, according to estimates published on Friday by the Department for Work and Pensions (DWP).
Downing Street had previously said it was not legally obliged to carry out a full assessment of the implications of the decision regarding the means test for payments. However, in light of calls to publish an analysis, the disclosure came out.
The DWP showed many people eligible for pension credit will not apply and, consequently, will completely lose the subsidy. Under the new changes, the winter fuel payment will still be available to those who qualify for pension credit and some other benefits, but around 10 million people will lose this payment.
More than a million pensioners will continue to receive the winter fuel payment. The government is encouraging eligible individuals to apply. The internal DWP analysis simultaneously confirms that the government expects hundreds of thousands of people entitled to assistance will be unable to receive it.
Another 100,000 people can apply for payments. However, more than three-quarters of a million pensioners who are eligible will still be unable to apply, as confirmed in the document according to the government’s assessment.
The analysis also revealed that nine out of ten pensioners aged between 66 and 79 will lose their allowance, while eight out of ten pensioners over the age of 80 will also lose it. Those over 80 receive a higher payment – £300 instead of £200 – and consequently, they will bear the heaviest financial burden, as stated in the report. The analysis further indicated that while individuals with disabilities are likely to retain their payment, approximately 71 per cent will still lose their entitlement.
The decision to reduce winter fuel payments was necessary to stabilise the economy, and the government is taking measures to alleviate the impact, according to UK Prime Minister Keir Starmer.
