State Pensioners across the UK are grappling with the shock revelation from the new Labour Government that to address a staggering £22 billion deficit in public finances, Winter Fuel Payments will be drastically reduced. This year, only about 1.5 million individuals will receive the payment, leaving approximately 10 million pensioners without the annual financial support of £100 to £300 for heating expenses, as they do not qualify for income-related benefits like Pension Credit.
The future holds further uncertainty for pensioners following an exchange at Prime Minister’s Questions on Wednesday. Conservative MP Louie French lambasted the reduction in Winter Fuel Payments as a “disgraceful political decision” and pressed the Prime Minister to “rule out scrapping concessionary travel fares and Council Tax discounts, which also help millions of pensioners across the UK”.
In response, Sir Keir Starmer sidestepped the direct queries, stating: “I am not going to pre-empt the Budget. It will all be set out in due course.”
Hints of additional austerity measures have been dropped by both Prime Minister Starmer and Chancellor Rachel Reeves in their quest to rebalance the nation’s books, yet specifics remain elusive. With the Autumn Budget scheduled for October 30, there is growing speculation that it could introduce revisions to Capital Gains Tax, Inheritance Tax, the ISA allowance, and the personal savings allowance.
And Tories are worried about what could happen to pensioners who rely on free bus travel to get around.
The Telegraph suggests that Council Tax could be under review, but it remains uncertain how any alterations would impact Scottish residents as the banding is determined by the Scottish Government, reports the Daily Record.
Likewise, concerns have been raised over continued commitments to free bus travel for over 60s.
For those aged 60 or over, the card does not have an expiry date and remains valid for life. The Tory opposition claimed the Labour party was refusing to commit to continuing the free bus travel scheme.
However, a government spokesperson said the party has no plans to withdraw the scheme at this time. They added: “We know how vital the free bus pass scheme is for preventing loneliness, providing access to vital services and keeping people connected to loved ones, and that’s why we have no plans to withdraw it.”
In her letter to Labour transport secretary Louise Haigh, shadow transport secretary Helen Whately said: “Pensioners across the country remain hugely worried about how they will cope with the Government’s recent cut to the winter fuel allowance. If scrapping their bus passes is not in your plans, then to allow this speculation to continue is immensely cruel.
“If, however, it is, then I implore you to reconsider. The vast majority of pensioners are not living the life of luxury you appear to think they are. These cuts will heap further pain on top of losing a fuel allowance so many of them rely on.
“It’s not just the financial impact of these bus passes. For many older people they represent their last remaining ticket to independence, to amenities and to their communities. Please will you confirm to me and to them as soon as possible that these bus passes won’t be scrapped.”