Winter Fuel Payment

Baroness Neville-Rolfe Excerpts

Thursday 12th June 2025 Lords Chamber

[Lord Livermore (Lab)]

I am grateful to the noble Lord for his question. He knows much more about the tax and benefits system than I do, I suspect, having spent many more years working on it than me. The answer to his question is that it is the latter: it is up to and including £35,000, so it will be at £35,001 where that happens. At that point, they will lose the winter fuel payment in its entirety.

[Baroness Neville-Rolfe (Con)]

I am glad of the opportunity to wish the Minister a happy birthday from these Benches.

We welcome the decision by the Government partially to reverse their decision on the winter fuel allowance. That will ensure that our oldest and most vulnerable citizens are better protected through the dark and cold of the winter months. However, when he answered questions before, the Minister did not adequately answer how this £1.25 billion reversal will be funded. Can he tell us today whether it will result in further tax rises, in departmental spending cuts or in increases in borrowing, and, if not, where the money will come from?

[Lord Livermore (Lab)]

I am very grateful to the noble Baroness for her kind words. We are setting out these changes now to ensure that more pensioners are able to receive support this winter. That is important. As she knows, we have moved to just one fiscal event a year, so, as is now normal, these changes will be fully funded at the next fiscal event, which is the Budget in the autumn. This will ensure that final costings and funding decisions come alongside a full forecast from the OBR—something that the previous Government did not do—and we will ensure that the fiscal rules are met at all times.