Tuesday, December 24, 2024

Winter fuel cuts to go ahead after government wins Commons vote

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Millions of pensioners are set to lose winter fuel payments this year after an attempt to block the cuts failed in Parliament.

The government won a vote on the plan to restrict the payments to all but the poorest pensioners by 348 votes to 228 – a majority of 120.

52 MPs did not take part in the vote, including some Labour ministers, but it is not yet known how many had deliberately abstained or were absent from Parliament for another reason. Only one Labour MP voted against the government.

Dozens of Labour MPs were reported to have been planning to abstain in protest at the cuts despite Chancellor Rachel Reeves urging them to back the government.

Shouts of “shame” were heard in the Commons chamber as the result was announced, which will mean the number of fuel payments will fall from 11.4 million to 1.5 million this winter.

The payments of either £200 or £300 are normally made in November and December and will still be paid to all pensioners claiming pension credit to top up a low income.

Sir Keir Starmer told the BBC’s Laura Kuenssberg that the impact on the 10m pensioners losing out would be lessened by the fact pensions are rising by 4% in April, increasing the full state pension by £460 a year.

However, pension payments are made throughout the year, rather than in a lump sum like winter fuel payments, and are not intended to only cover heating costs.

During the debate, Conservative shadow work and pensions secretary Mel Stride said Labour made no mention of cutting fuel payments during the election campaign.

“Broken promises already, that special contract that they sought to have with the British people based on integrity and decency smashed into a million pieces,” he said.

He added the Labour government had “caved in to its trade union paymasters” with above-inflation pay settlements for striking workers made “on the backs of vulnerable pensioners”.

But Work and Pensions Secretary Liz Kendall accused the Conservatives of “faux outrage” and blamed them for leaving 880,000 pensioners eligible for benefits out in the cold.

To loud cheers, she said the Tories “never took the action needed to increase pension credit uptake” and accused them of playing “fast and loose with the public finances”.

But veteran Tory MP Sir Edward Leigh described the decision as “a punishment beating” and said Labour’s claims about the previous government’s financial decisions were “absolute and complete rubbish”.

Sir Edward said pensioners on the cusp of the pension credit eligibility threshold were still “looking after every penny” and would now lose winter fuel payments too.

Five of the seven Labour MPs suspended from the Parliamentary party for voting against the government over the two-child benefit cap also backed the Tory motion, as did former Labour leader Jeremy Corbyn and other members of his independent alliance.

The SNP, Greens and DUP also voted against the government’s move to start means testing the winter fuel payment.

Only one Labour backbencher, Jon Trickett, voted against the government, posting on X that he feared the measure would cause more pensioners to fall into poverty during the winter.

Mr Trickett, who was a shadow cabinet member during Corbyn’s leadership, said this winter will be “extremely difficult” for his constituents, “even be a matter of life and death”, and accused energy companies of continuing “obscene profiteering”.

He posted: “In my view the government should be looking to raise revenues from the wealthiest in society, not working class pensioners.”

It is difficult to tell how many Labour MPs who did not vote on the winter fuel allowance actively abstained.

MPs can be absent for a number of reasons, such as travel, medical appointments, or official meetings.

They can receive ‘slips’ – or permission – from the party whips to miss the vote, or be ‘paired’ with someone from the opposing side who also agrees not to vote in order to nullify the effect of their absence.

A Labour source is claiming that only a dozen of the MPs who did not vote on scrapping the winter fuel allowance for most pensioners were “not authorised”.

Labour suggest the numbers not present in the vote are typical and say the average number of Labour MPs absent is 51.

The change is expected to shave £1.4bn from the welfare bill this year, as a step towards filling the £22bn “black hole” Ms Reeves says the government inherited from the Conservatives.

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