Thousands of state pensioners who lost their Winter Fuel Payment due to recent policy changes may soon have a chance to reclaim this critical support. The Department for Work and Pensions (DWP) is reaching out to older adults receiving Housing Benefit, informing them of potential eligibility for Pension Credit. Qualifying for Pension Credit would also restore access to the fuel allowance.
The government’s decision to means-test Winter Fuel Payments, which provide up to £300, has sparked widespread criticism. This policy is expected to reduce the number of recipients from 11.4 million to just 1.5 million, focusing on those receiving Pension Credit. The change aims to save the government approximately £1.4 billion this year.
Eligibility Criteria for Winter Fuel Payments Under Revised Rules
Under the revised rules, Winter Fuel Payments are available only to those receiving specific means-tested benefits, including:
- Pension Credit
- Universal Credit
- Income-related Employment and Support Allowance (ESA)
- Income-based Jobseeker’s Allowance (JSA)
- Income Support
- Child Tax Credit
- Working Tax Credit
Government Initiatives to Support Pensioners Amid Policy Changes
Work and Pensions Secretary Liz Kendall has confirmed efforts to inform 120,000 pensioners receiving Housing Benefit about their potential eligibility for Pension Credit. “In the longer term, we are streamlining the administration of Pension Credit and Housing Benefit to ensure pensioner households get the support they deserve,” she explained.
However, Kendall acknowledged that the policy might push an additional 50,000 pensioners into relative poverty this winter, with further increases expected in future years. She highlighted that increased uptake of Pension Credit could offset some of these impacts.
Recent Statistics on Pension Credit Claims and Future Poverty Projections
Since April 2024, the DWP has processed 161,800 Pension Credit claims from a total of 215,200 applications:
| Claim Status | Number of Claims |
|---|---|
| Total Claims | 215,200 |
| Processed Claims | 161,800 |
| Approved Claims | 81,000 |
| Rejected Claims | 81,500 |
| Approved Since July | 42,500 |
Kendall added, “Relative poverty estimates suggest that 50,000 more pensioners may be impacted in the coming years. These projections, however, exclude potential benefits from higher Pension Credit uptake.”
Current Winter Fuel Payment Rates
Currently, the Winter Fuel Payment is £200 for individuals born between September 23, 1944, and September 22, 1958. Pensioners over 80, born before September 23, 1944, qualify for the higher £300 payment.
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I get housing benefit, but don’t get any other benefits