Union accuses Labour of ‘cruelty’ over winter fuel payment cuts as 780,000 pensioners to miss out

Labour’s biggest union backer has increased pressure over the cuts, putting forward a motion to Labour’s conference this month calling for the move to be reversed

Labour is facing growing pressure over its planned winter fuel payment cuts as figures emerged showing almost 800,000 pensioners who need the benefit are set to lose out.

More than 80% of people aged 80 and over will miss out, as will more than 70% of pensioners, according to Department for Work and Pensions figures released under the Freedom of Information Act. Even among those who should still receive the payments, worth up to £300, an estimated 780,000 will miss out because they have not claimed pension credit.

Keir Starmer’s government has now been accused of “cruelty” by Unite, the party’s biggest union backer, which has reportedly submitted a motion to the party conference calling for the prime minister to reverse the controversial move.

Unite’s motion to the party’s conference this month, reported by Sky News, presents a potential rift among members. The union’s general secretary Sharon Graham told the outlet: “There is no question that Britain is better off under Labour... but people voted for change and they now need to see that change.

“The government needs to dump its cruel winter fuel policy... I make no apology for holding Labour’s feet to the fire.”

Under Labour’s means-testing of the benefit, only pensioners who receive pension credit or certain other benefits will continue to receive the allowance – but many, although eligible for the benefits, have not applied.

Chancellor Rachel Reeves said the move passed through parliament last week is necessary to help fill a “£22 billion black hole” in the public finances. The government expects to save about £1.3 billion through the measure. Ten million people will be stripped of the allowance this winter.

Sir Keir Starmer and Chancellor Rachel Reeves put forward means-testing of the winter fuel allowance (Getty/PA)

The new figures, published in response to a Freedom of Information request, are based on “equality analyses” rather than impact assessments, the DWP has said.

However, in its FOI response, the DWP said that while those with a disability will be disproportionately likely to retain the payment, around 71 per cent people with a disability will still lose entitlement.

The revelations have reignited a row over the policy, which has been attacked by both unions and opposition critics as it sets out to strip about 10 million pensioners of the support with their energy bills.

Conservative Party chairman Richard Fuller said: “At the start of this week, Labour MPs marched through the lobbies to cover up the impact of the winter fuel cuts which will slash support for many pensioners in their own constituencies.

“This shocking new data, sneaked out by the government, now shows 780,000 people who should be entitled to the payment will lose out as will 1.6 million people with a disability.”

He called on Labour to “immediately” conduct and publish a full impact assessment of “this harmful policy”.

Wendy Chamberlain MP, Liberal Democrat Work and Pensions spokesperson, said: “Pensioners across the country are terrified that during a cost of living crisis, the government is set to strip desperately needed support away from the most vulnerable.

“This lays bare what a catastrophic decision the new government has taken for millions of pensioners.

“The new Labour government must reverse course immediately, ditch these cruel cuts, and get pensioners the support they need this winter.”

In 2017, Labour claimed Conservative plans to means-test the winter fuel allowance could lead to almost 4,000 deaths.

A government spokesperson said: “While it is not routine to publish advice as part of the development of policy, we have published the equality analysis on winter fuel payment eligibility.

“Our focus is on ensuring that those who should be claiming this support are receiving it alongside the wider support for vulnerable households, including the warm homes discount, worth £150, and household support fund to help people with the cost of living and energy bills.

“Over a million pensioners will continue to receive the winter fuel payment and, through our commitment to protect the triple lock, those on the full new state pension will receive an extra £400 – twice the average winter fuel payment.”