State pensioners will be handed £1,700 each after losing £300 Winter Fuel Payment

Pensioners could get a £1,700 boost after losing the Winter Fuel Payment, worth £300, from the new Labour Party government.

State pensioners have been handed a £1,700 lifeline after having the £300 Winter Fuel Allowance AXED. Pensioners could get a £1,700 boost after losing the Winter Fuel Payment, worth £300, from the new Labour Party government.

Chancellor Rachel Reeves has boldly claimed pensioners will be a whopping £1,700 better off under Labour. Ms Reeves writes: “The easiest thing I could have done in my first weeks in office is to have ducked the difficult decisions and walked away. To have done what the Conservatives did time and time again: put short-term interests before the national interest.”

She adds later: “These were not choices I wanted to make nor expected to make, but they were the right choice to deliver our promise of economic stability. And with that stability we can deliver a Britain that is better off. That is what drives my politics and the decisions I take in government every single day.

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“It is why we are delivering our manifesto promise to protect the triple lock, so we can put more money in pensioners’ pockets each and every year. The Full New State Pension alone will be worth around £1,700 more by the time of the next election.”

The £1,700 figure is a new Treasury estimate for how much a pensioner will benefit from the triple lock between now and 2029, when the next general election is due. The triple lock guarantees the state pension will rise each year by the highest of either inflation, wage increases or 2.5 per cent.

Earlier this month, the latest wage increase figure was published. The rise is expected to be around £400. Jonathan Cribb, head of retirement and savings at the Institute for Fiscal Studies (IFS), said: "A £1,700 per year cash-terms increase in the value of a new state pension between now and 2029 is consistent with OBR forecasts for the next five years and keeping the triple lock," he told the Telegraph.

"But of the £1,700 rise, around £1,050 of that is just keeping up with expected inflation, meaning it looks more like a £650 increase in real terms, and a smaller increase still relative to average earnings."