Asked by: Abtisam Mohamed (Labour - Sheffield Central)
Question to the Department for Work and Pensions:
To ask the Secretary of State for Work and Pensions, what steps she is taking to support low-income pensioners.
Answered by Emma Reynolds - Secretary of State for Environment, Food and Rural Affairs
Winter Fuel Payments will continue to be paid to pensioner households with someone receiving Pension Credit or certain other income-related benefits. They will continue to be worth £200 for eligible households, or £300 for eligible households with someone aged 80 and over.
We know there are low-income pensioners who aren’t claiming Pension Credit, and we urge those people to apply. This will passport them to receive Winter Fuel Payment alongside other benefits – hundreds of pounds that could really help them.
The State Pension is the foundation of income in retirement and will remain so protecting 12 million pensioners through the triple lock. Based on current forecasts, the full rate of the new state pension is set to increase by around £1,700 over the course of this Parliament.
The Household Support Fund (HSF) is also being extended for a further six months, from 1 October 2024 until 31 March 2025. An additional £421 million will be provided to enable the extension of the HSF in England, plus funding for the Devolved Governments through the Barnett formula to be spent at their discretion, as usual.
We are also providing support for pensioners through our Warm Homes Plan which will support investment in insulation and low carbon heating – upgrading millions of homes over this Parliament. Our long-term plan will protect billpayers permanently, reduce fuel poverty, and get the UK back on track to meet our climate goals.
The Warm Home Discount scheme in England and Wales provides eligible low-income households across Great Britain with a £150 rebate on their electricity bill. This winter, we expect over three million households, including over one million pensioners, to benefit under the scheme.
Asked by: Abtisam Mohamed (Labour - Sheffield Central)
Question to the Department for Work and Pensions:
To ask the Secretary of State for Work and Pensions, if she will make an assessment of the potential merits of increasing the eligibility threshold for Pension Credit.
Answered by Emma Reynolds - Secretary of State for Environment, Food and Rural Affairs
The rates of Pension Credit were last reviewed in Autumn 2023 as part of the Secretary of State’s annual statutory review of State pension and benefit rates. Following that review, the Pension Credit standard minimum guarantee was increased by 8.5%, in line with the percentage increase in average earnings, to £218.15 a week for a single pensioner and £332.95 a week for a pensioner couple, with effect from 8 April 2024. Other Pension Credit amounts, including the maximum rate of Savings Credit and additional amounts for those with a severe disability or caring responsibilities, were increased by 6.7% in line with price inflation.
The next review will be undertaken later this month, following the publication by the Office of National Statistics of the earnings and prices indices used to inform the review, with the new rates taking effect from 7 April 2025.