Support for Pensioners

Clive Jones Excerpts

Wednesday 12th February 2025 Westminster Hall

[Clive Jones (Wokingham) (LD)]

It is a pleasure to serve under your chairship, Dame Siobhain. I congratulate the hon. Member for Mid Bedfordshire (Blake Stephenson) on securing this important debate. I declare my interest as a governor of the Royal Berkshire hospital.

My constituency is home to 18,164 people aged 65 and over. Whether under the Conservatives or Labour, Britain’s pensioners have been a political football for successive Governments to mistreat, kick around and turn their back on. That has been the case from the winter fuel allowance under this Government to the betrayal on the triple lock by the previous Government and the failure to compensate WASPI women by both the Conservatives and Labour.

Pensioners are some of the most vulnerable in our society. They have worked hard all their lives, and they should have an opportunity for some much-deserved rest and relaxation. Instead, they are forced to stress about finances and to make impossible decisions that threaten their health. I am sure every MP of every political party will have received casework or correspondence about older people being forced to choose between heating and eating. Fuel poverty is a blight on our nation and a sign that our welfare state is failing—and it will get worse. The energy price cap is forecast to rise for the third consecutive period in April 2025, and the average energy bill is already 57% higher than it was in 2021.

The Chancellor’s cuts to winter fuel payments have only exacerbated the problem that poor pensioners face. The Government are attempting to clear up the horrific mess the Conservatives left the economy in, and they have picked up the pieces—but they have dropped them all over again. In October 2024, a YouGov poll commissioned by Independent Age found that 43% of older people who had lost their winter fuel payments would go to bed earlier to avoid having to heat their homes, while 23% said they would not turn on their heating at all. That poses a clear and direct threat to their health, with Independent Age estimating that it would cost roughly £4 billion in increased NHS and social care costs. Locally, that could fund two new Royal Berkshire hospitals.

One of my constituents, Philippa, came all the way to Parliament to talk to me about the impact of the cuts. Many of the people with her remarked how few Labour MPs took an interest in meeting pensioners from their constituencies face to face to hear about the effects of the policies they ended up supporting—I will let the evidence speak for itself. Philippa is not the only one who made contact. Mark, Pauline, Maxine and many others all wrote to tell me how worried they were. The Government have made the wrong decision in trying to cut spending, and they should have taxed the banks, social media giants and online gambling companies instead.

Liberal Democrat Wokingham borough council has done a great job trying to make the best of a difficult situation. It has encouraged eligible pensioners to sign up for pension credit before Christmas, including by sending 1,000 letters to people identified as potentially eligible. That exercise revealed that, although the DWP knows which individuals are eligible for pension credit, it does not release that information to councils. Having that information would have supported the great effort by Wokingham borough council, so will the Minister commit to changing that policy, to allow councils to inform those eligible for pension credit more effectively? If I am wrong on that, the Minister can write and tell me, but I do not think I am.

What steps are the Government taking to support people with their energy bills who are above the threshold for pension credit and other means-tested benefits? Will the Minister commit to launching an emergency home energy upgrade programme to provide free insulation and heat pumps for low-income households?

When many pensioners were already suffering through the loss of the winter fuel allowance, the Government decided to turn their back on hundreds of thousands of WASPI women. It was a shameful decision to betray millions of pension-age women, who were wronged through no fault of their own, and to ignore the independent ombudsman’s recommendation. The ombudsman concluded that just 43% of people knew that the planned change to the state pension age would affect them personally. The Liberal Democrats pushed the Government for years to compensate WASPI women fairly. That tone-deaf decision cannot be allowed to stand. Will the Minister state precisely why he does not believe that WASPI women are owed compensation? Will he do the right thing and agree to a parliamentary vote on this issue?

On a related matter, my constituent Alan sadly lost his wife recently. She was one of the many women affected by the increase in pension age. To add to that injustice, there was a change in 2016, and Alan has been told that he is no longer entitled to any form of widower’s state pension. Therefore, he is losing money that his wife received, even though his normal living expenses are pretty much the same. I wrote to the Minister some months ago, and I still look forward to a response. I hope he will be able to dig further into this matter and send me a reply soon.

Finally, let us not forget that the Conservatives have failed pensioners, both when they were in government and, more recently, outside of government. The Leader of the Opposition has many low moments to point to from her first 100 days, and the right hon. Member for Braintree (Mr Cleverly) must rub his hands together excitedly after Prime Minister’s questions most weeks. For me, however, the most obvious low moment was when the Leader of the Opposition decided to go after the triple lock on pensions. One moment, when it is politically convenient, the Conservatives are all for means-testing benefits, but suddenly, when they are starved of new ideas, they are against it. The Conservative leader promised not to have too many policies, yet one of her first was to advocate slashing the state pension.

The Liberal Democrats are proud that we introduced the triple lock for pensions, and we will fight tooth and nail against any attempt by the Conservatives to weaken it, or if the Minister and the Labour Government decide to do what the Tories did in 2022 and temporarily suspend it. Will the Minister commit today to never make that mistake?

[Rebecca Smith (South West Devon) (Con)]

It is a pleasure to serve under your chairmanship, Dame Siobhain. I thank and congratulate my hon. Friend the Member for Mid Bedfordshire (Blake Stephenson) on securing this important debate. It is the second on this topic today, but it puts a particular focus on the support that the Government should be providing.

I also thank hon. Members for the many contributions that we have had, and I will briefly touch on a couple that raised points that I was not planning to raise. My right hon. Friend the Member for Aldridge-Brownhills (Wendy Morton) highlighted the lack of notice that pensioners had about the change to the winter fuel payment. That highlights the fact that nobody could be expected to do any planning, as well as the lack of a wider impact assessment of what this change would actually mean for real people’s lives.

My hon. Friend the Member for Keighley and Ilkley (Robbie Moore) is no longer in his place, but he talked about the council tax increase that many pensioners will also face in the coming months. My right hon. Friend the Member for North East Cambridgeshire (Steve Barclay) highlighted the knock-on impacts of the change to winter fuel payment on our health and social care systems. My hon. Friend the Member for West Worcestershire (Dame Harriett Baldwin) talked about the impact on 44,000 terminally ill patients.

The hon. Member for Strangford (Jim Shannon) highlighted the lack of heating in damp homes. It is interesting to note the cross-reference to the Government’s Renters’ Rights Bill, where there was a huge emphasis on tackling mould. Yet what we have here is the knock-on impact of the challenges faced by pensioners, which may instead lead to an increase in mould in their homes.

Finally, I will just highlight the rather humorous point made by my hon. Friend the Member for Farnham and Bordon (Gregory Stafford), who I think will go down in history for coining the phrase, “Strapping of Strangford”, which could well be the highlight of this whole debate, alongside the lots of equally great points that he made about his constituency. Sorry— I digress.

What has really been highlighted this afternoon is Labour’s broken promises, particularly to pensioners. They fought the election claiming that they were on the side of pensioners, but this entire debate has highlighted that that may not be the case. Actually, I should also refer to the hon. Member for Swansea West (Torsten Bell), who made a whole load of claims about the Conservative party and who seemed to forget the successes that I am about to highlight. I also wholeheartedly refute his claims about what has been happening since the election.

[Clive Jones]

I am not the MP for Swansea West; I am the MP for Wokingham.

[Rebecca Smith]

Sorry, I meant to say Wokingham. I had circled “Swansea West” in my notes; I was trying to be clever—forgive me. Anyway, I will go back to my notes; that would be much better.

In the same way that the Government are coming after farmers, with the family farm tax, they have also gone after pensioners right across the country—and all of that on the back Labour wiping £118 billion off the value of people’s pensions the last time it was in government. So, many of these pensioners have already seen their pensions being devalued.

At the same time, the Government are finding the money to launch the vanity project GB Energy—if we are lucky, we will see lower energy bills by 2030—and pouring money into public pay packets, with no expectation of improving productivity. Pensioners and farmers seem to be the easy targets, and some Labour members seem to believe that that is the case—or perhaps I should say former members, given that they are perhaps less likely to vote Labour.

Labour has come to power against the backdrop of a Conservative record of improving dignity in people’s retirement. We protected the triple lock; uprated the state pension by £3,700; drove up pension credit applications earlier in our time in office; and abolished the pension lifetime tax allowance, which we need some credit for, because it incentivised more experienced workers, including GPs, to stay in work for longer. The Resolution Foundation, which the Minister previously worked for, has confirmed that pensioners are £1,000 better off since 2010, thanks to the decisions made by successive Conservative Governments.

As other Members have said, among the more disappointing policy decisions the Government have made since they came into office is the decision to scrap winter fuel allowance for pensioners who are not in receipt of pension credit—that is the key point. The decision to means-test the winter fuel allowance has seen 10 million pensioners lose access to payments they were previously eligible for. I note the excellent research published by my hon. Friend the Member for Harborough, Oadby and Wigston (Neil O'Brien), which shows that my constituency of South West Devon is likely to be among the hardest hit. Previously just over 22,000 people received winter fuel allowance, but now only about 1,600 would be eligible through pension credit. Some 21,301 pensioners in my constituency would lose out.

Many of us have had representations from constituents, and I want to particularly highlight single pensioners, who are the hardest hit in many cases. We have heard that some earning as little as £11,344—less than £1,000 a month—are no longer eligible for winter fuel payments. There is also an undue hit on the disabled and those whose modest savings lift them out of the bracket. That is completely immoral.