Social Security Advisory Committee: Winter Fuel Payment
Debate between Andy McDonald and Emma Reynolds(1 month, 1 week ago)
Commons ChamberRead Full debate Read Hansard Text Read Debate Ministerial Extracts
Emma Reynolds
If the hon. Lady looks at the equality analysis, she will see that those with a disability will be disproportionately likely to retain the winter fuel payment. I urge her to have a look at that.
Andy McDonald (Middlesbrough and Thornaby East) (Lab)
I thank my hon. Friend for her response to the urgent question. We had a Budget that did so much good for our country in the face of the most dreadful inheritance, and the Labour Government should be congratulated on that. But pensioners in Middlesbrough and Thornaby East are still looking to the Government to further mitigate the impact of the cut to the winter fuel payment. Much has been done by the elected Mayor Chris Cooke to embrace the issues around the household support fund and so on, but the Social Security Advisory Committee noted that the £1.4 billion was based on an increase of only 5% in pension credit take-up, from 63% to 68%. Could the Minister say what the increase in take-up has been to date, and what further steps she will take to provide yet further mitigations and reduce pensioner poverty?
Emma Reynolds
We will announce new statistics at the end of this month. The committee asked about the 5% increase; that assumption is based on what happened when the previous Government took away free TV licences and people had to apply for them. The OBR accepted our assumption.
Winter Fuel Payment
Debate between Andy McDonald and Emma Reynolds(3 months, 1 week ago)
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Andy McDonald
I wholeheartedly agree that the Minister has inherited the most dreadful legacy from the absent Conservative party. Could she clarify for me the issue of take-up of pension credit? It currently sits at 63%; the ambition is 68%. What would happen to the proposed savings of £1.4 billion if pension credit was successfully rolled out to everybody entitled to it? Would those savings not disappear?
Emma Reynolds
The savings we have estimated—£1.4 billion this year and £1.5 billion in the next financial year—take into account a boost in the uptake of pension credit. We are absolutely determined to see an increase in that uptake, so the Secretary of State and I have already engaged with charities and local authorities. The Secretary of State spoke to Age UK and Citizens Advice about how we work together.
Last week was Pension Credit Week of Action. I encourage hon. Members to look at my X, although I know it is not so fashionable with everyone these days, for a video of a visit I did last week precisely to raise awareness of pension credit. Pension credit is not a simple process—we are looking at how to simplify it—but charities such as Age UK and Citizens Advice will help pensioners to go through it online. The online version is much simpler than the paper version, believe it or not, as the paper version has lots of questions that will not be applicable. We are also delivering a major campaign in print and broadcast media, including for people to reach out to retired families, friends and neighbours to urge them to check if they are eligible.
We will write to all pensioners about housing benefit; this is a question that one of my hon. Friends asked me yesterday. He had a constituent on housing benefit who was concerned that that would be taken into account as a form of income when the Government looked at his eligibility for pension credit. I confirm that that is not the case: housing benefit is not taken into account with regard to income. Please, I urge pensioners on housing benefit, who will be receiving a letter from the Department, to apply for pension credit.
As a Government, we are looking to merge the administration of housing benefit and pension credit to make that much simpler for people. The previous Government promised they would do that—some years ago, in fact—but were not going to until 2029. We think that that was slow decision making, and we are seeking to do it as soon as is operationally feasible. It is not a simple exercise, but it is something that we should do.