Question to the Department for Work and Pensions:

To ask the Secretary of State for Work and Pensions, what steps he is taking to help tackle pensioner poverty.

In 2021/22, there were 200,000 fewer pensioners in absolute poverty after housing costs than in 2009/10. The Government remains committed to ensuring that older people can live with the dignity and respect they deserve, and the State Pension is the foundation of financial support for today’s older people and for retirement saving by younger people.

From April 2024, subject to parliamentary approval, the basic and new State Pensions and Pension Credit Standard Minimum Guarantee will be up-rated by 8.5%, in line with earnings growth, benefiting over 12.2 million pensioners. This delivers on the Government’s ‘triple lock’ commitment to increase these rates in line with the highest of growth in prices, growth in earnings or 2.5%. Other State Pension and benefit rates, including the Additional State Pension, will be increased by 6.7%, in line with the increase in the Consumer Prices Index for the year to September 2023.

There are currently around 1.4 million pensioners claiming some £5bn of Pension Credit, which tops up their retirement income. This provides invaluable financial support for the poorest pensioners and is a passport to a range of other benefits. We are taking action to raise awareness of Pension Credit, encouraging pensioners to check their eligibility and make a claim.

The Government understands the pressures people are facing with the cost of living which is why it is providing total support of over £94bn in 2022/23 and 2023/24 to help households and individuals with their rising bills.

Over 8 million UK households on eligible means-tested benefits, including Pension Credit, will receive Cost of Living Payments totalling up to £900 in 2023/24.

In addition, over 8 million households will receive a £300 pensioner Cost of Living Payment as a top up to their winter fuel payment this year, increasing payments to £500 or £600 where the household includes someone aged 80 or over. Pensioners in receipt of an eligible disability benefit will have received the £150 Disability Cost of Living Payment.

In addition to these current measures, to reduce the risk of poverty for future pensioners, automatic enrolment into workplace pensions has transformed pension participation for millions of workers. To date, over 10.8 million people have been automatically enrolled into a workplace pension, with over 2.1 million employers complying with their duties. Furthermore, our 50 PLUS agenda aims to maximise the labour market opportunities for people to earn and save for longer.