Winter Fuel Payment Debate

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Department: HM Treasury
Tuesday 10th June 2025

(3 days, 14 hours ago)

Lords Chamber
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Lord Livermore Portrait Lord Livermore (Lab)
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I am grateful to my noble friend for his question. I pay tribute to him and to Age UK for the campaigning work they have done, not least to increase pension credit uptake. There was a record increase this year in the take-up of pension credit. An additional 60,000 people are now claiming pension credit, which is incredibly welcome.

We have listened to the concerns raised by Age UK, among others, about the level of the means test. We have now acted to ensure that, although we are still means testing the payment, we are raising the threshold to extend eligibility, so that this winter, more pensioners will be able to benefit from it. Nine million pensioners will now receive it—more than three-quarters of pensioners in total.

My noble friend is absolutely right about the party opposite: they are more than happy to spend the money, but they are less keen on raising it.

Viscount Hailsham Portrait Viscount Hailsham (Con)
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My Lords, would it not be better to incorporate the allowance into the pension, which is taxable, making it easier and fairer to administer?

Lord Livermore Portrait Lord Livermore (Lab)
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That may be one option, but it is not the option we have chosen.