Rachel Reeves has confirmed a main U-turn With almost all retirees took Winter fuel payments Since last year set up to return.
In a decision that could cost a vault 1.25 billion pounds, chancellor He announced that all those who qualify for State Pension on revenues of £ 35,000 or less will now qualify for winter fuel payment.
This means that 9 million will be almost 11 million who lost the annual support last year, he will return it. The other two million or they will have or have To turn off or pay the benefits.
An announcement comes only two days before the chancellor Set to publish its consumption revision Following severe reduction negotiations with government wards.
When she announced a decision for waste Winter fuel payments For millions of pensioners shortly after Labor Last year he took power, the chancer claimed that “a difficult decision” was inevitable for a hole of 22 billion £ left in Finance by the previous Tory of Government. The original decision was estimated to save the government of 2 billion pounds.
However, there was a huge political retardation from the decision with the MPS of the MPs that blame the defeat in Runkorn election and humiliation in local elections in May about the decision.
To add problems with Ms. Reeves, the Budget Responsibility Office refused to agree that it was $ 22 billion in the financing in the financing in the financing in the financing in the finances in which 7 billion £ invested in finance.
Announcing the decision, Mrs. Reeves said, “Targeting winter fuel payments was a difficult decision, but the right decision due to the inheritance left to us by the previous government.
“It is also okay to continue to mean that we test this payment so that it is targeted and fair, not to return the eligibility to all, including the richest.
“But now we have acted to expand the eligibility of winter fuel payments so that no retiree on lower incomes will not be missed. This will mean over three trimester retirees who received payment in England and Wales later this winter.”
I guess the technician for the weekend technocront Peter Kyle argued that it would not be a decision before Review of consumptionwhich takes place on Wednesday, and instead would be recorded in the move to the autumn budget.
This move comes in the middle of speculation that Mrs. Reeves could lose their job as a chancellor in re-change in order to try to convert the unpopularity of the government.
Work is a loss of support Nigel Farage Reform in the UK announcing them last month, they would both renew winter fuel payments and ended unpopular Two chicks for children.
A Okay It is now expected in a cap for two children, as potentially cost Risma for another 3 billion pounds.
Mrs. Reeves will now need to find additional money through cutting in her revision of spending due to indelidation on Wednesday.
The Treasury estimates that about 2 million individuals in England and Wales over State Pension Age are tax revenues above £ 35,000 that will not benefit.
However, retirees above the threshold of £ 35,000 will have a full amount of winter fuel payment that received automatically collected by Paye or through their return of self-assessment. No one will have to register Hmrc for it or take any further actions. Pensioners who want to give up and not even receive payment, will be able to do so, with details to be confirmed.
Those who have revenues of £ 35,000 or below 67. to 79, are entitled to the billing of winter fuels in the amount of £ 200, while they are older than 80 and above £ 300 with one household payment.
Opposition parties branded the “degrading U-turn” move.
Tory Leader Kemi Badenoch said, “Keir Starmer was wrong to clear his own workmanship. I repeatedly challenged him to reversing his cheeky fuel.
“This humiliating U-turn will improve the conspicence of pensioners to choose between heating and eating last winter. The Prime Minister should now apologize for his terrible verdict.”
Liberal Democratic Leader Ed Davey said, “Finally, listened to Liberal Democrats and tireless campaigns in realizing how much such politics was, but Jad was caused could not be overrated.
“County pensioners were forced to choose between heating and eating all while the government saved head in the sand in the end, ignoring those who really suffered.”