DWP poverty inquiry opened as one group of Brits in particular faces hardship

MPs have launched an investigation into the financial support provided by the Department for Work and Pensions (DWP), following a minister's admission that cost-cutting reforms are set to push 50,000 individuals from a specific age bracket below the poverty line. After Labour came to power, it was disclosed that the £300 Winter Fuel Payment would be subject to means testing, a change now expected to leave numerous pensioners struggling financially.

The Work and Pensions Committee initiated the first phase of the inquiry on Friday, inviting experts and senior citizens to present evidence and accounts, enabling Parliament to understand the array of economic difficulties faced by pensioners. MPs are seeking clarity on whether "pension age benefits and the State Pension [are] enough to stop pensioners from falling into poverty?"

In a letter to the committee last week, Labour's DWP minister Liz Kendall MP revealed that departmental forecasts indicate an additional 50,000 pensioners will slip into relative poverty annually due to the Winter Fuel Payment being limited to those receiving Pension Credit. This figure is a reduction from an initial, previously undisclosed estimate of 100,000 affected this winter alone.

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Yet, the impact on pensioners isn't solely from the alteration of the £200 to £300 payment intended to assist with heating expenses. Pensioners, many of whom rely on fixed incomes, are also contending with the same cost-of-living increases as younger generations.

Compounding the issue, there is a notable reluctance among the elderly to seek assistance or a lack of awareness about the available support.

The DWP has estimated that there are still around 760,000 British pensioners eligible for Pension Credit—a benefit averaging an extra £3900 per claimant—yet they are not claiming it. To be entitled to this boost and the accompanying Winter Fuel Payment, incomes must fall below £173 a week for single pensioners or £236 for couples.

The new inquiry titled 'Pensioner poverty – challenges and mitigations' is delving into the multitude of issues faced by the elderly, aiming to keep the government accountable and potentially shape DWP policies.

Life's complexities often lead to financial difficulties for Britain's older population. The MPs involved in this investigation are keen to understand these problems by inviting those affected to discuss their struggles, and the effects on their health and daily living.

In their public call for evidence, the Work and Pensions Committee states: "We are looking at the state of pensioner poverty in the UK. Which groups are most affected? What are the health impacts? How do the State Pension and other pension age benefits mitigate the risks? "

The inquiry seeks insights into how the nation’s older citizens with fixed incomes are managing essentials like food, energy, and housing costs amidst the cost of living crisis, and whether they are receiving adequate support.

The inquiry added: "The Government's decision to restrict the Winter Fuel Payment eligibility and to hold a pensions review has raised the question of pension adequacy."