Winter Fuel Payment: pensioners will need more government support to help with energy bills, key adviser says

It comes as energy debt is currently at record levels, according to Energy UK, with bills set to rise by 10 per cent from October to December on average due to the price cap increase.

Many pensioners are worried about how they will pay after Chancellor Rachel Reeves cut back the Winter Fuel Payments to those on pension credit. 

Previously all 11.4 million pensioners had received payments of up to £300 to help with winter bill payments, however now that has reduced to just 1.3 million.

Ms Flint said the Committee on Fuel Poverty had always said the Winter Fuel Payment was a “poorly targeted scheme”.

However she warned the government: “There are people who will be above the pension credit threshold who need more help as well.”

“There needs to be a consideration in the Budget in the autumn of a winter plan for many, many people, pensioners and other households,” she told the BBC.

“Where children are in poor fuel households they need help going forward.”

The former Labour MP said the government could look at giving help to those living in council tax bands A to D, as suggested by MoneySavingExpert founder Martin Lewis, or look at widening the Warm Homes Discount.

The Committee’s report stated: “Based on current energy price levels, targeted support to the fuel poor will remain important, and necessary, for the foreseeable future.”

Ms Flint added: “The Committee believes fuel poverty can be beaten. 

“But for too many low-income households, the unaffordability of bills, especially in the coldest months, is all too real.  

“We foresee that targeted financial support, possibly including the use of social tariffs, for vulnerable and low-income households may be needed for some years to come.”

The Yorkshire Post has been inundated with letters of people concerned at how they will manage this winter, following Ms Reeves’ cut.

Sue Cuthbert, a widow in her 80s from Newton on Rawcliffe, wrote in to say the Chancellor must “rethink this decision”.

“People like myself, put the Labour Party in Government,” Ms Cuthbert said.

“I am shocked and disappointed with her attack on pensioners … at the next election there may be a different outcome.”

Ms Reeves attempted to defend her decision yesterday, saying: “We had to take difficult decisions in very challenging circumstances because the previous government was overspending by £22 billion just this year alone so we had to take action to get a grip on the public finances.”

She claimed that if they had not taken action, interest and mortgage rates could have spiked and pension funds could have been at risk.