Winter Fuel Payment Debate

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Department: HM Treasury

Winter Fuel Payment

Kieran Mullan Excerpts
Tuesday 10th September 2024

(2 months, 1 week ago)

Commons Chamber
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Kieran Mullan Portrait Dr Kieran Mullan (Bexhill and Battle) (Con)
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I recognise the comments that the hon. Member has made about the economic inheritance, but does she not agree that, compared with the situation that we managed in coalition with the Liberal Democrats in 2010, the Labour Government are in a better position? They have unemployment lower than we inherited, employment higher than we inherited, the deficit lower than we inherited, and economic growth faster than we inherited. We, in partnership with the Liberal Democrats, managed to keep winter fuel payments in those circumstances. Does she not agree that Labour should do the same?

Sarah Olney Portrait Sarah Olney
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I thank the hon. Member for his intervention, but it is important to reflect on the disastrous legacy of the mini-Budget and the circumstances that many people continue to struggle with thanks to higher interest rates on their mortgage payments. Certainly, from the perspective of my constituents, that casts a much longer shadow, which the winter fuel payment cuts will do nothing to ameliorate.

Last week, I asked the Chancellor if she would give her full support to measures to boost the uptake of pension credit. I welcomed her commitment to work with the Secretary of State for Work and Pensions to maximise the take-up of pension credit by bringing forward the administration of housing benefit and pension credit—

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John Slinger Portrait John Slinger (Rugby) (Lab)
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Many Opposition Members have thrown the word “choice” at us. Their party chose empty promises, chose unfunded policies, chose a course that led to the decimation of our public services and to higher mortgage rates and higher bills, and chose to make the former Member of Parliament for South West Norfolk Prime Minister.

We did not want to make this choice, but some choices are thrust upon us. We on the Labour Benches do not duck choices. This Government are choosing long-term economic stability, economic security and growth. This Government are choosing to maintain the triple lock, which will see the state pension rise year on year. This Government are choosing to do all in their power to make sure that hundreds of thousands of pensioners claim pension credit, and they will do a lot more.

Kieran Mullan Portrait Dr Mullan
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Does the hon. Member agree that it is deeply disingenuous for him and other Labour Members to talk about the drive to increase the uptake of pension credit? He knows full well that if the Government were able to do that, it would wipe out the saving that they are claiming to make. They do not actually want people to increase their uptake of pension credit, because the Government would not save any money.

Caroline Nokes Portrait Madam Deputy Speaker (Caroline Nokes)
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Order. I remind the hon. Member that the word “disingenuous” is almost akin to suggesting that someone is lying. Perhaps he would like to withdraw his remark.

Kieran Mullan Portrait Dr Mullan
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I will replace “disingenuous” with “deeply, deeply concerning”.

John Slinger Portrait John Slinger
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I thank the hon. Gentleman for his intervention, and for clarifying his use of language. I can assure him that everyone on the Labour Benches, including my colleagues on the Front Bench, are doing everything they can to make sure that vulnerable pensioners who need pension credit receive it. We say that in good faith, and we mean it.

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Kieran Mullan Portrait Dr Kieran Mullan (Bexhill and Battle) (Con)
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I rise to express my strong opposition to the Government’s decision to remove the winter fuel payment from millions of pensioners, a move that will strip vital financial support from thousands of my constituents—people who have contributed to our country and helped to build it. The impact in Bexhill and Battle will be profound: Age UK estimates that more than 25,000 pensioners will lose their winter fuel payment as a result of this decision. I hope the Government understand just how significant their decision is in constituencies such as mine.

The Government say that they are focused on increasing the uptake of pension credit. If all those who are eligible to claim pension credit do so, though, the £1.4 billion that the Treasury is expected to save by means-testing the winter fuel payment will be dwarfed by the increase in the cost of pension credit, so the Government have to admit that, ultimately, they do not actually want all those pensioners to take up pension credit.

Our pensioners deserve better. The fall-back of this Government since they took office is to blame the previous Government for all the unpopular actions they have decided to take. They claim the state of the economy is a reason to remove this vital lifeline for pensioners, but let us be clear about the facts. On a broad range of indicators, the situation they have inherited is significantly less challenging than the one we inherited in 2010. We inherited an economy just out of the deepest recession since 1955. Labour left us with public sector net borrowing at 10.3% of GDP; today it is at 4.4%. Unemployment in 2010 was 7.9%; unemployment now stands at 4.1%.

However, from 2010 onwards, through all these difficult times, we made decisions to protect pensioners, and we made sure to keep the winter fuel payment. It was the right thing to do then, and it is the right thing to do now. I ask the Government to listen to MPs from across the House, including some on their own Benches, and think again.

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Emma Reynolds Portrait Emma Reynolds
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I will come on to the issue the hon. Gentleman raises in just a moment.

On pension credit, my right hon. Friend the Member for Leicester West (Liz Kendall) the Secretary of State for Work and Pensions and the Deputy Prime Minister, my right hon. Friend the Member for Ashton-under-Lyne (Angela Rayner) have written to all local authorities asking them to redouble their efforts to reach those pensioners who could benefit from pension credit. [Interruption.] The Opposition Front Bench might grumble, but it is a far sight more than they ever did when they were in power. We are joining forces with charities such as Age UK and Citizens Advice to encourage pensioners to check their eligibility and apply. We will be delivering a major campaign in print and broadcast media, including to urge people to reach out to retired family, friends and neighbours to get them to check if they are eligible.

Kieran Mullan Portrait Dr Mullan
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Will the Minister give way, on that point?

Emma Reynolds Portrait Emma Reynolds
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No, I will not.

For the very first time, we are writing to all pensioners in receipt of housing benefit who are potentially eligible to encourage them to claim pension credit—again, something that the last Conservative Government never did.