Latest news with #winterfuelpayment
Daily Mail
11-07-2025
- Business
- Daily Mail
JEFF PRESTRIDGE: Reeves has U-turned on plans to slash the cash Isa allowance (for now at least) - this is what I fear she'll do next
With every day and night of her Chancellorship that goes by, Rachel from Accounts is transmogrifying into U-turn Rachel. And after politically embarrassing turnarounds on cuts to both the winter fuel payment and out-of-control disability benefits, U-turn Rachel is at it again.
BBC News
03-07-2025
- Business
- BBC News
Winter fuel: Lyons says 86% of NI pensioners to be eligible for payment
The Communities Minister Gordon Lyons has said 86% of pensioners in Northern Ireland will be eligible for the winter fuel payment this comes after the government performed a U-turn on its controversial had initially scrapped the universal payment as a cost saving now those with an income of £35,000 or below are eligible for the grant. Lyons told BBC Radio Ulster's Evening Extra programme that his officials have assessed that the change in policy will mean 288,000 pensioners are in line for the payment."For comparison, across the UK as a whole about 80% of pensioners will retain [the payment], but it's slightly higher in Northern Ireland because of our lower incomes," he said. "This has been a mess from the start. The government have a lot to answer for on this. This has been handled horrifically by the government and has put a lot of worry and concern into the minds of our older people." Lyons had secured £17m from Stormont to provide a £100 one-off payment for those affected by the cut last said the Labour government's policy was misguided."I said from the start this would not have saved the government a lot of money," he said. "What we have seen is a number of pensioners reach out for help and realise they are eligible for pension credit, which is a passport for other benefits. So in that regard it'll actually cost the government more." What are winter fuel payments? Winter fuel payments were created in 1997 to help everyone above state pension age with their winter heating Chancellor, Rachel Reeves, announced last year that winter 2024 would be the first time pensioners in England and Wales would not be eligible for the Ireland was forced to follow were then restricted to those on benefits and pension credit.
Daily Mail
18-06-2025
- Business
- Daily Mail
LIZ SMITH: SNP's shameful betrayal over winter fuel will not be forgotten - or forgiven
Yesterday's latest U-turn by John Swinney over his government's policy on the universal winter fuel payment was, if anything, even more humiliating, unprincipled and deceitful than the one Rachel Reeves performed last week. The SNP furiously protested after the UK Chancellor's shameful decision to abolish the allowance last year that they had no option but to follow suit. That is always the first rule in the Nationalists' playbook – blame someone, anyone, else rather than accept responsibility for unpopular decisions. The reality is that the SNP had the money to make the payment this year. They had the devolved power for future years to continue providing a winter fuel payment – just as they do with a number of other benefits. The fact that some of them are financially irresponsible and place an unsustainable strain on public spending doesn't seem to hold them back. But provided with Labour's example, they had no hesitation in following suit. Then, when the impact of their policy on the most vulnerable pensioners became clear and – more importantly, from their point of view – it also became apparent just how unpopular it was, the Nats suddenly announced that they would reintroduce payments. And, John Swinney declared with great fanfare, it would be universal. Though he made less noise about the fact that some people would see the payment cut by £200. Now, in a broken promise which is breathtaking even by the First Minister's standards, he's changed his mind about that. We learned yesterday that hundreds of thousands of pensioners will not, after all, qualify for the SNP's version of the allowance. At the same time, he's announced two separate rates, at £203.40 and £305.10 – figures which seem to have been picked solely so that the SNP can claim that they are being more generous than the UK government. That childish and cynical attempt at one-upmanship and deliberately misleading rates is exactly the sleight-of-hand approach that the Nationalists took with income tax, when they made Scotland the highest taxed part of the country. Mr Swinney constantly claims most Scots pay less, but never mentions those sums are a few pounds, while the majority of working Scots, who are hit by their punitive rates, are often paying several thousands more. The Labour government's decision to abolish the universal winter fuel payment was, of course, a straight betrayal of their election promises. It was a cruel and vindictive assault on vulnerable pensioners. And, as we've learned from its reversal in Rachel Reeves' spending review, it was all completely unnecessary. We were told at the time that it was essential to plug an unexpected 'black hole' in the public finances. That contradicted what Rachel Reeves said before the election, when she accepted that there couldn't be any surprises because of the Office for Budget Review's (OBR) figures. And the OBR, it turned out, couldn't find any sign of the black hole she blamed. Now the Chancellor claims that she has fixed this imaginary shortfall and put the economy on a sound footing, so she can afford to reverse the cut. It is impossible to find a single credible economic analyst who does not say that this is obvious nonsense. The economy is stalling. Economic inactivity is worsening. Borrowing is going through the roof. All the economic experts are united in the view that the Chancellor will be back in the autumn, and that she will be announcing very substantial tax rises. But in SNP-run Scotland – where the government has already made emergency budgets an annual event – things will be even worse. The economic pain will be amplified by the SNP's wasteful and irresponsible spending which, even with the Union dividend and John Swinney's punitive higher taxes, greatly exceeds their income. Over the course of this disgraceful policy shambles, Labour's approach has been dishonest and needlessly created real suffering and anxiety for pensioners. But, if anything, the SNP have managed to make matters worse. The constant chopping and changing by ministers is causing more needless anxiety for Scottish pensioners. Their latest announcement is confusing. But one point is clear – hundreds of thousands of Scots will not have the payment even partially restored – despite John Swinney's promise that they would. It's a shameful betrayal that will not be forgotten or forgiven by Scotland's pensioners.
Telegraph
18-06-2025
- Business
- Telegraph
SNP ‘slap in the face' to pensioners after scrapping universal winter fuel payment plan
SNP ministers have been accused of delivering a 'slap in the face' to Scottish pensioners after scrapping plans to give them a winter fuel payment. John Swinney, the First Minister, had promised that every pensioner would receive at least £100 regardless of their income, arguing that the benefit should be universal. But the SNP Government announced it had ripped up the plan and only pensioners with income of less than £35,000 would receive help. OAPs with higher incomes will still receive the payment, but will have to hand back the sum via their tax return or PAYE. Less well-off pensioners will get £203.40 if they are aged under 80, and £305.10 if they are older – marginally higher amounts than the £200 and £300 paid in England and Wales. The announcement came only weeks after Mr Swinney argued that the winter fuel payment should be restored to 'all pensioner households'. Speaking ahead of a meeting with Sir Keir Starmer on May 23, he called for a 'national mission' to raise living standards and a 'restoration' of the benefit 'so all pensioners get a payment'. 'Policy abandoned in a heartbeat' Mr Swinney's U-turn means eligibility for the benefit in Scotland is now the same as south of the border, where the UK Government has already announced a £35,000 income threshold. Control over the winter fuel payment, however, is devolved to the Scottish Government, meaning Mr Swinney had the power to introduce a universal benefit instead. More than 720,000 pensioners are expected to receive the payment, but Age Scotland, a charity for the elderly, estimated that 160,000 would miss out. Liz Smith, the Scottish Tories' shadow social security secretary, said: ' The SNP, like Labour, shamefully betrayed pensioners by axing universal winter fuel payments, before being forced into a humiliating climbdown by the public outcry. 'But this latest announcement means that hundreds of thousands of Scots will not have the payment even partially restored – despite John Swinney's promise that they would. This latest slap in the face will not be forgotten or forgiven by the pensioners affected.' Adam Stachura, policy director at Age Scotland, said: 'The policy making on this payment has been guddled, lacked consultation, and politically charged throughout. 'While this is partly to do with the speed of the UK Government's original change and subsequent U-turn, the Scottish Government's repeated commitment to universality and its benefits has been abandoned in a heartbeat.' He also argued that the Scottish payment being £3 or £5 higher than in England was 'pretty meek', as the colder climate north of the border meant energy bills were higher. Shirley-Anne Somerville, the SNP's Social Justice Secretary, said: 'Following careful consideration of the options available, the Scottish Government will mirror the approach taken by the UK Government. We will bring forward regulations to ensure that, from this winter onwards, all pensioners will receive either £203.40 or £305.10 per household, depending on age. 'We are in discussion with the UK Government to extend the proposed arrangements in England and Wales to recover payments from those pensioners with an individual income of more than £35,000 through the tax system. The intention is that the payment will be recovered automatically, and pensioners will not need to register with HMRC for this or take any further action.' UK Government's major U-turn The Treasury has said that the 'vast majority' of pensioners south of the border with income over £35,000 will have the benefit automatically clawed back through PAYE, while a minority will have to fill out a self-assessment tax return. The Labour Government announced last July the introduction of a means-tested cap to the payment for pensioners in England and Wales. This meant that millions of OAPs were no longer eligible. Although control over the benefit is devolved, Mr Swinney argued that he had no choice but to follow suit as the cut led to a £147 million reduction in the SNP Government's funding through the Barnett formula. The payment of between £100 and £300 only went to 130,000 Scottish OAPs in receipt of pension credit and other means-tested benefits last winter – 900,000 fewer than the previous year. Mr Swinney then used the record Budget settlement the SNP Government received from Rachel Reeves, the Chancellor, to announce that all pensioners would receive a payment of at least £100 ahead of the winter. In a major U-turn last week, Ms Reeves said OAPs in England and Wales with an income below £35,000 per year would receive a higher sum. The Chancellor announced that households with a pensioner aged under 80 would get £200, while those with someone over 80 would get £300. However, those with an income of more than £35,000 would receive nothing. The announcement prompted Labour to demand that Mr Swinney review his plan to ensure that 'no struggling Scottish pensioners will be left out of pocket'. On Monday, the First Minister announced that Scottish pensioners would be no worse off than their English counterparts but refused to repeat his pledge that everyone would get at least £100.
BBC News
18-06-2025
- Business
- BBC News
Scotland to recover winter fuel payment from better-off pensioners
The Scottish government says it will no longer offer its new winter fuel payment for pensioners on a universal said it would seek to recover funds via the tax system from pensioners earning more than £35,000 - matching the system announced by the UK ministers had set out plans for a payment slightly more generous than that on offer from the UK, by £3 to £5 per they faced criticism as payments would go to all pensioners - potentially including millionaires - rather than being targeted at those most in need. Talks are now taking place with the UK government to match the system south of the Justice Secretary Shirley-Anne Somerville said those receiving the payment in Scotland would be better off than their counterparts in the rest of the said pensioner households with no-one aged 80 or over would receive £ will rise to £305.10 for households with someone aged 80 or 720,000 people are expected to be eligible for the funding. Somerville said the UK government announcement last week was a "welcome, if belated" move following what she called a "a betrayal of millions of pensioners" in 2024. She added: "Following careful consideration of the options available, the Scottish government will mirror the approach taken by the UK government."We will bring forward regulations to ensure that, from this winter onwards, all pensioners will receive either £203.40 or £305.10 per household, depending on age."We are in discussion with the UK government to extend the proposed arrangements in England and Wales to recover payments from those pensioners with an individual income of more than £35,000 through the tax system." Chancellor Rachel Reeves last week confirmed the payment would be reinstated to the majority of pensioners in England, following months of anger and protest over changes implemented last Scottish government delayed plans for the pension age winter heating payment after the initial Westminster cut was in November it announced pensioners would receive at least £100 every year. The social justice secretary said the payment would be recovered automatically, meaning no-one affected would need to register with claimed this would ensure people most in need would receive a higher level of support. Somerville had said earlier in June that it was "important to have a universal system" for the payment. The Scottish Conservatives said the decision to not make the payment universal was a "slap in the face" to security spokeswoman Liz Smith said: "This constant chopping and changing by SNP ministers is causing more needless anxiety for Scottish pensioners."This latest announcement means that hundreds of thousands of Scots will not have the payment even partially restored – despite John Swinney's promise that they would."This latest slap in the face will not be forgotten or forgiven by the pensioners affected."
