Winter Fuel Payment: Means-testing

12. What assessment she has made of the potential impact of means-testing the winter fuel payment on levels of pensioner poverty.

I refer the right hon. Member to the Secretary of State’s letter of 19 November to the Work and Pensions Committee. As well as means-testing the winter fuel payment, this Government launched the biggest ever pension credit take-up campaign, because we want all pensioners to receive the support to which they are entitled. The result has been almost 50,000 more awards than were received during the same period in the preceding year.

The Government did indeed launch a campaign to increase the number of pension credit applications, but sadly there was also a surge—an increase of 133%—in the number of claims that were not allowed, and more than 100,000 awards were not made. For many pensioners, including a number in my constituency, the winter fuel payment was a lifeline—indeed, many need their heating to be turned on throughout the year, not just during the winter—but just because of an arbitrary threshold they now receive nothing at all, and they are losing out. Will the Government look at this again, given the impact and the risk of pushing more pensioners into poverty?

I can tell the right hon. Member about pensioner poverty. It halved under the last Labour Government and it rose on the Conservatives’ watch, by 200,000. Yes, we have had to make some difficult choices, but it is because of those difficult choices that we can afford a £31 billion annual increase in the state pension over the current Parliament and an extra £26 billion a year for the NHS. None of those choices would the Conservatives back, which is why the NHS and the state pension would be endangered on their watch.

In my 10 years as a Member of Parliament, I have run consistent campaigns throughout my constituency to raise awareness of pension credit and encourage hundreds of people to sign up to it, but I know that many of my constituents are just above the threshold and by no means well off. What assessment will the Government make of those who are not eligible for pension credit but will still face fuel poverty next winter?

I am grateful for the work that has been done by councils and third sector organisations throughout the United Kingdom to drive uptake of pension credit. That work has led to the 50,000 extra awards that I mentioned earlier. The choices we have made mean that we can protect pensioners across the board, and the 4.1% increase in the state pension in April was possible exactly because of the tough choices that we have had to make.

Stockport council was one of the first local authorities to roll out the warm spaces programme that was used by third sector groups to support people in need during the winter months. Will the Government commit themselves to helping authorities roll such programmes out earlier, in the face of the winter fuel cuts and rising energy prices?

I am grateful for the work of local authorities, including mine in Swansea, to provide places for pensioners and, in fact, members of all age groups to go to if they are in need during the winter. The most important action we can take is tackling directly the cause of the issues that the hon. Gentleman has raised by bringing down energy bills in the years ahead, moving away from the system that the Conservatives left us—which is dependent on the price of gas driven by the action of dictators such as Putin—and continuing to raise the state pension faster than inflation over the current Parliament, which is why the new state pension is set to increase by £1,900 by the end of this Parliament.

This morning, the Work and Pensions Committee was at the Welsh Assembly, where we heard from Wales’s Older People’s Commissioner as part of our pensioner poverty review. I was impressed that Wales has a role with real legal clout. From what we heard, it is making a difference for older people in Wales. Do Ministers agree that we should at least look at extending that to England and Scotland?

We should always learn lessons from Wales. In fact, this Government are already doing that. The roll-out of free breakfast clubs, which is happening across England at the moment, was pioneered in Wales. Children are receiving a free breakfast because of the work done in Wales. I praise my hon. Friend and the entire Work and Pensions Committee for the work that it is doing as part of its inquiry into pensioner poverty. I will be coming to give evidence to the Committee shortly, and I know that its members have been listening not just in Wales but more widely, with events in Glasgow and Manchester as well.

I call the shadow Secretary of State.

I suspect that the hon. Members on the Government Front Bench are now surrounded: I suspect that they are the only people left in this Chamber who are prepared to defend the cutting of the winter fuel payment. Dozens of their own MPs have now joined a long list of people telling the Government that they have got it wrong, including the Welsh First Minister—talking about learning lessons from Wales—the money-saving expert Martin Lewis, and voters up and down this country. The Conservatives have led this campaign from the start, but if the Government will not listen to us, will they now listen to everyone else and think again?

We have set out our policy, but here we are 10 months on and I have no idea what the Conservatives’ policy is. I am not even sure that they know what their policy is. For all the shouting, there is no promise to reinstate a universal winter fuel payment. There is one policy from the Leader of the Opposition, the very woman who called for the winter fuel payment to be means-tested in 2022: now, she wants to means-test the entire state pension. Apparently, that is “exactly the sort of thing we will look at”. She thinks that is bold policymaking. It is not—it is bonkers.

The good news is that the Minister has no responsibility for the Opposition.

That is not something that the Leader of the Opposition said. To the point in hand—the winter fuel payment—I wonder for how much longer this tone-deaf final stand will go on. Every time the Government talk about winter fuel payments, they make out that they had no choice, but that is simply not true. To govern is to choose. At best, this policy was only ever going to save £1 billion or so, but they are spending £8 billion on setting up an energy company, and the cost of asylum hotels will rise to £15 billion under Labour. This has always been a choice, and it is the wrong one. Can the Minister guarantee that next winter, every single one of the 750,000 poorest pensioners who missed out on the winter fuel payment this year will receive it?

I can guarantee that this Government are going to deliver on our priorities for pensioners by raising the state pension, with a £470-a-year increase this April, and saving the NHS, with a £26 billion increase every single year. What will the Conservatives be doing? None of that, because they oppose every single measure required to fund it. We know what the Tory plan is, because we have just lived through it: pensioner poverty rising and the NHS collapsing.