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Posted by Tony Flynn on 18th August 2010 at 01:23 PM
Government 'to raise qualifying age' for winter fuel payments
The qualifying age for winter fuel payments could be raised under government plans to cut the welfare bill, it was reported today.

Rather than being eligible for the annual handout at 60, people could have to wait until they are at least 66, the Daily Telegraph said, with talks apparently under way to impose an even bigger rise.

And the paper said the payment - worth £250 or £400 for the over-80s last winter - could be cut by £50 for new recipients and £100 for the oldest.

But a Department for Work and Pensions (DWP) spokeswoman said the report was "speculation", saying no decisions had yet been made ahead of the autumn's spending review and subsequent white paper on welfare reform.

The Times also suggested that winter fuel payments might be cut, perhaps along with child benefit and other universal allowances, as part of a £13 billion reduction that could be used to pay for radical welfare changes proposed by Work and Pensions Secretary Iain Duncan Smith (pictured).

The spokeswoman said the DWP was "not going to provide a running commentary" on what was being considered.

Winter fuel payments, introduced in the winter of 1997, cost around £2.7 billion a year.

David Cameron pledged to keep the winter fuel allowance during the general election leaders' debates, but the Liberal Democrats campaigned on a platform of reforming the payment by raising the age-related threshold to 65 to extend them for severely disabled people. The coalition agreement pledges to "protect key benefits for older people such as the winter fuel payment", but does not rule out reform.

Chancellor George Osborne was challenged yesterday on whether winter fuel payments to older people would be protected at the same level as under Labour, replying: "The commitment on the winter fuel payments is there in the coalition agreement and was made during the election campaign and is there for all to see."

According to the Government's website Directgov, the qualifying age for winter fuel payments is already rising in line with the increase in women's state pension age - set to equalise at 65 by 2020.

Ministers have proposed speeding up plans to raise the state pension age for men to 66, possibly by as early as 2016.

Reports have suggested the DWP and the Treasury are locked in a battle over Mr Duncan Smith's plans for welfare reform at a time when government departments are being ordered to make huge spending cuts.

Chancellor George Osborne said the welfare bill was "completely out of control" and the deficit could not be tackled without cutting the spend on benefits.

But he said: "We are engaged as a government in a collective effort to get this right to both make savings to the welfare bill and to create a simpler, fairer welfare system that, above all, gets people into work."

Maria Wardrobe, Communications Director at NEA, the national fuel poverty charity, said: "If these proposals are to become a reality they will completely contradict the manifestos of both coalition parties, with the Conservatives having indicated that they would retain the Winter Fuel Payment in its current form, and the Liberal Democrats proposing to raise the qualifying age for some households whilst retaining 60 as the qualifying age for households on Pension Credit and extending entitlement to some disabled households.

“To raise the age of eligibility to 75 and to link it to free TV licences is absurd, what possible connection is there between a TV licence and being able to heat your home to a level that protects you from cold-related illness and possibly death?

“In 2008-2009 there were some 40,000 excess winter deaths in the UK. In recent weeks the British Medical Journal has published research showing the link between heart attacks and cold conditions.

"Apart from the physical harm to older people, cold homes cost the NHS hundreds of millions in treating cold-related illness. Policies of this nature could ultimately result in increased expenditure rather than the savings that are intended.

"We need decisive action from Government to ensure that low-income households are protected against high energy prices.

"While the Coalition Government develops its thinking on future energy policy the Winter Fuel Payment remains a valuable instrument in protecting the health and welfare of older people living in inadequately heated and poorly insulated housing.

Source: 24dash.com


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