Unions have intensified pressure on Keir Starmer regarding the Labour government’s decision to eliminate winter fuel payments for 10 million individuals.
A recent poll indicated that half of elderly Britons will reduce home heating despite Chancellor Rachel Reeves asserting pensioners will be £1,700 better off.
This poll emerged ahead of this afternoon’s vote on the Government’s controversial cut. Critics warn it will compel millions of older people to lower their heating this winter.
“One MP… was shouted at and called disgusting at a constituency surgery because of this policy.”
Labour MPs have faced abuse over Starmer’s choice to scrap pensioners’ the winter fuel allowance. They haven’t ‘felt supported by the government’ says @KateEMcCann.#TimesRadio pic.twitter.com/TeAcFBdvIC
— Times Radio (@TimesRadio) September 9, 2024
Keir Starmer plans to leverage his significant Commons majority to pass the measure, despite opposition from numerous Labour MPs concerned about a potential electoral backlash.
Union leaders accused ministers of “robbing pensioners.” The Unite union urged Starmer to abandon the “very cruel” policy.
Tory work and pensions spokesperson Mel Stride advised Labour to heed their constituents’ concerns.
Stride challenged Labour MPs, saying, “Put the country before your party. Vote with us in Parliament to reverse this cruel decision impacting millions of vulnerable pensioners.”
He warned that many would face a choice between heating and eating due to the policy.
Rachel Reeves informed worried Labour MPs she would not retract the decision, suggesting pensioners could manage this winter with the recent state pension increase.
Reeves acknowledged the cut’s unpopularity but hinted at more tough decisions in the upcoming Budget. Ministers have not released an impact assessment of the cut, which will save £1.5 billion annually.
Research commissioned by Labour in 2017 indicated that means-testing the benefit could lead to nearly 4,000 additional winter deaths as pensioners struggle to afford heating.
The Resolution Foundation’s recent assessment warned that 1.3 million impoverished pensioners would sink deeper into poverty due to the move.
Former Labour frontbencher Richard Burgon stated the plan would result in pensioner deaths as they would be unable to afford heating.
Unite union leader Sharon Graham urged ministers to reconsider and introduce a wealth tax. Graham, whose union is a major Labour donor, accused the government of targeting pensioners while sparing the wealthy.
She called on Starmer to reverse the decision, arguing it was the wrong choice.
TUC general secretary Paul Nowak expressed deep concern about the policy’s impact and called for a rethink. He urged the Chancellor to outline support for non-affluent pensioners in the Budget.
Rail union leader Mick Lynch criticised the policy at the TUC conference in Brighton, cautioning Labour against setting a negative precedent with the first Budget.
He implored Starmer and Reeves to represent the people, not business interests, and warned of lasting negative consequences if the policy proceeds.
Home Office minister Dame Diana Johnson said she was confident the Treasury was exploring ways to mitigate the impact, possibly limiting the payment to homes in council tax bands A to C. However, a government source denied any plans for change.
Addressing the Parliamentary Labour Party, Reeves acknowledged opposition but stood by the decision, blaming the Conservative Party for the public finance deficit.
Reeves highlighted the £900 increase in the state pension this year, suggesting pensioners could afford the winter fuel cut. She also pointed out efforts to encourage the poorest pensioners to claim Pension Credit, which would entitle them to retain the winter fuel payment.
Applications for Pension Credit have more than doubled since Reeves announced her plans in July but still average around 9,000 weekly.
The Daily Telegraph reported that Reeves claimed pensioners would be £1,700 better off under the new Labour government.
The Treasury stated that the state pension would rise over the next five years due to the triple lock.
However, a poll revealed that over half of pensioners would heat their homes less due to the winter fuel payment cut. The Savanta survey, commissioned by the Liberal Democrats, showed that 55% would face a colder winter, with 40% planning to cut back on essentials and 19% eating less to save money.
Three-quarters of respondents said they would be impacted by the changes, while only a fifth believed they would avoid negative effects.
Liberal Democrat leader Sir Ed Davey called on Starmer to reconsider, stating the government was forcing pensioners to choose between heating and eating.
Economists warned that any savings from the cut would be nullified if all eligible pensioners claimed Pension Credit.
Downing Street did not clarify whether dissenting MPs would lose the Labour whip. Seventeen MPs have signed a Commons motion for a rethink, with many more privately opposed. No dissent was reported at the Cabinet meeting over the plans.
What Other Media Are Saying
- The Guardian reports that Chancellor Rachel Reeves confronted potential Labour MPs’ dissent ahead of a critical vote on the winter fuel allowance.(read more)
- Standard reports that Sir Keir Starmer’s Cabinet is united behind plans to drastically cut the winter fuel allowance, despite growing pressure within Labour ranks to soften the policy.(read more)
- Big Issue reports that Prime Minister Keir Starmer defends the “unpopular” decision to cut winter fuel payments for pensioners not on benefits, despite up to 50 Labour MPs planning to rebel against the government in a vote.(read more)
Frequently Asked Questions
Here are some common questions asked about this news
What’s Labour’s plan for winter fuel payments?
Labour plans to cut winter fuel payments for 10 million people, saving £1.5 billion annually.
How are unions reacting to the winter fuel payment cut?
Unions are strongly opposing the cut, calling it ‘cruel’ and urging Labour to reverse the decision.
Will the winter fuel payment cut affect pensioners’ heating habits?
Yes, a poll shows half of elderly Brits will heat their homes less often due to the cut.
What is the potential impact of the winter fuel payment cut on pensioners?
Critics warn it could drive 1.3 million pensioners deeper into poverty and may lead to increased winter deaths.
Why is Labour pushing through the winter fuel payment cut despite opposition?
Labour argues the state pension increase means pensioners can afford the cut and aims to fill a financial ‘black hole’.