Pension credit claims hit almost 75,000 after winter fuel payment slimdown

The Department for Work and Pensions has reported a significant increase in pension credit claims, with nearly 75,000 applications received following the Government's push to encourage benefits uptake. The figures, released on Friday, show that approximately 74,400 pension credit claims were made in the eight weeks following July 29.

This date marked the announcement by Chancellor Rachel Reeves of means testing for the winter fuel payment. The number of claims represents a substantial rise from the 29,500 applications made in the eight weeks prior to the announcement.

However, there was a slight decrease in the week beginning September 16, with 11,800 claims received compared to 13,400 the previous week. Interestingly, the majority (91.8%) of these claims were made online.

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Work and Pensions Secretary Liz Kendall has previously encouraged pensioners to check their eligibility for the benefit, which could unlock winter fuel payments of up to £300. The Labour Government has limited these cash packages to claimants of certain benefits, including pension credit and universal credit, following Ms Reeves' identification of a £22 billion "black hole" in public finances due to unfunded spending commitments.

"It's easier than ever to check if you are eligible, including with our online calculator, and if your circumstances have changed since the last time you looked I urge you to check again," Ms Kendall advised during the department's Pension Credit Week of Action in early September.

"Thousands of pensioners are missing out on pension credit worth on average £3,900 per year. That needs to change."

Addressing the annual party summit in Liverpool earlier this month, Ms Kendall informed members and activist representatives that her administration accomplished "more for the poorest pensioners in the last two months than the Tories did in 14 years," pointing to "the biggest ever drive to get pensioners on pension credit, backed by our commitment to the pensions triple lock".

Despite these efforts, the party conference saw a vote of censure against the new means testing procedure for winter fuel payments after deliberations took place on Wednesday.

A motion backed by unions passed, prompting calls for the Chancellor to "reverse the introduction of means-testing for the winter fuel allowance".

Sharon Graham, general secretary of Unite the Union, spearheaded the plea, earning applause when she said: "This is not what people voted for. It is the wrong decision and needs to be reversed."

"We are the sixth richest economy in the world. We have the money," she added. "Britain needs investment, not austerity mark two."

Ms Graham went on: "We won't get any gold badge for shaving peanuts off our debt."

Adding to the criticisms, Alan Tate from the Communication Workers Union (CWU) stated the reduction of winter fuel payments had "overshadowed" the achievements of the new Labour leadership.

In his words: "The CWU has been inundated with emails and calls from our retired members worried about choosing between heating and eating."

In a Channel 4 News interview following the motion, Prime Minister Sir Keir Starmer expressed his understanding of the situation: "I do understand how, you know, colleagues in the Labour movement feel about this."

He added, "This is clearly a difficult decision but a motion at conference doesn't dictate Government policy."