For anyone interested in the history of the Winter Fuel Payment, this document from 2019 is worth reading:
researchbriefings.files.parliament.uk/documents/SN06019/SN06019.pdf
I do think it highlights change that was already under consideration in early 2010 … and then we had a change of government - Labour to Tory - for another fourteen years:
Page 18 onwards in most relevant - Section 7 Criticisms of the Winter Fuel Payment
As a means of tackling fuel poverty, the case for Winter Fuel Payments is weak. Its payment is unfocused and not targeted on people in or near fuel poverty. However, as a universal means of supplementing pensioner incomes, which is easily understood and easy to pay, the political case for the retention of Winter Fuel Payments is strong. However, it would be more intellectually honest to rename the benefit; concede that it a general income supplement; and stop accounting for it as a fuel poverty measure.
(Obviously we can argue that, three years later, fuel poverty did become a real issue but for everyone and the government of the day took steps to alleviate that.)
It is worth noting (page 9) that when WFA was first introduced there was an additional payment for people in receipt of means tested benefits:
The Winter Fuel Payment was £20 (or £50 for those in receipt of means- tested benefits) when first introduced in winter 1997/1998.
Now I am wondering to what extent Reeves has gone back to the thinking expressed in this briefing to do arguable what was on the cards fourteen year ago.
I can draw an analogy between what happened with State Pension age equalisation. This was subject of an EU Directive in 1978 but there was a change of goverment soon afterwards - Labour to Tory who did not legislated for it until seventeen years later in 1995.
Echoing what Doodledog said: In RR's shoes I would not have done this the way she has done it …
I agree. Another year to allow people to budget would not have made a great deal of difference - but I would suggest that overall she is making a decision that the previous government had ducked.
We know that the Tories relied on the votes of older people. Despite fourteen years of mismanagement, 46% of older people still voted Tory earlier this month.
During the election, Sunak was trying to appease older voters but promising a tax age allowance to offset the effects of the fiscal drag that he had created by freezing tax personal allowances 2021. It’s worth remembering that a tax age allowance was introduced by Labour in 1975 but was phased out by the Tories from 2013/14 - so Sunak was only promising to reinstate what his party has previously taken away.
It remains to be seen whether Reeves may do something in the Autumn to address the difficulties that fiscal drag will create over the coming years - the possibilty that a substantial number of pensioners will have to self-assess as there is no mechanism to tax state pension at source in isolation.
Worried I will miss out on my grandson
Why Does Oil Fluctuate Just On The Whims And Wishes Of Trump?
