Government winter fuel payment plans hit by chaos

Hundreds of thousands of pensioners could miss out on getting Winter Fuel Payments before cold weather hits.

Almost 900,000 pensioners need to apply for the Pension Credit if they want the payments designed to keep them warm this winter, but the official helpline claims that they may not have their application processed in time.

A recorded message on the Pensions Credit helpline says applications could take nine weeks to process, but the “qualifying period” for the Winter Fuel Payment is 16 September, in just over 3 weeks. [1]

Ministers have admitted that pensioners can still apply for the Winter Fuel Payments after the qualifying period has closed, as long as they apply for Pensions Credit before 21 December and would have been eligible in the qualifying period (16-22 September).

Assuming a pensioner meets the Pensions Credit criteria, the DWP advise that any eligible claimants whose Winter Fuel Payment does not come through automatically will have to claim for that by 31 March 2025.

However, campaigners have highlighted that backdating payments means extra bureaucracy and that the money may not reach vulnerable pensioners until after the first cold spell of the winter has hit.

A spokesperson for the End Fuel Poverty Coalition, commented:

“It’s clear Ministers have not thought this through. 

“When the Chancellor cruelly snatched away the winter fuel payment from millions of pensioners, she promised to help households who are eligible to claim the benefit.

“But as it takes so long to process new claims, even those applying now may be forced into a back-dating procedure which could delay payments.

“While we support ministers’ drive for longer term reduction in energy bills through renewables and a Warm Homes Plan, households need help this winter.

“The Government must broaden the targeting of the Winter Fuel Payment, to introduce support to end energy debt, expand the Warm Home Discount and extend the Household Support Fund.”

In a poll by YouGov for the Energy and Climate Intelligence Unit (ECIU), two thirds of people (67%) were aware of the move to remove winter fuel allowance payments from pensioners, apart from those who receive means-tested benefits. The pollsters found that 59% opposed it, with only 28% in favour.

Jonathan Bean from Fuel Poverty Action, said:

“The Winter Fuel Payment axe has been wielded at short notice and with no consultation. And now the whole process is mired in confusion.

“Left caught up in the chaos are older people who will be left fearful of the winter ahead. Many will be unsure if they will get the Winter Fuel Payment or not and delays to payments will only add to the misery.

“If ministers think that a communications campaign to encourage take up of Pensions Credit is any substitute for actual help with energy bills this winter, then they are very much mistaken.

“The Government needs to face up to the fact that this policy is unpopular and dangerous and change track.”

Meanwhile, Citizens Advice research found that a quarter of the UK population believe they could be forced to turn off their heating and hot water this winter due to an expected rise in household energy bills from October. The figure rises to 39% of bill payers on a low income.

Jan Shortt, General Secretary of the National Pensioners’ Convention added: 

“Choosing pensioners as an easy option to cut support from is set to condemn hundreds of thousands of older, and vulnerable people to a grim and potentially life threatening winter ahead.”

ENDS
[1] Call to 0800991234 made 12:25 21 August 2024