Government taken to court over winter fuel payment cuts
Millions of pensioners could see their winter fuel payments reinstated if a legal dispute against the government is successful. The challenge aims to force a U-turn on the government’s decision to limit eligibility for the benefit to those who receive pension credit.
The challenge was raised by a couple in North Lanarkshire, who will no longer be eligible for the payment under the new policy. Govan Law Centre (GLC), a Glasgow-based law firm, which uses the law to challenge poverty, discrimination and disadvantage, is assisting the couple with the dispute.
The challenge has been raised in the Court of Session, Scotland’s supreme civil court. Despite being launched in Scotland, the outcome of the case could also apply to England, Wales and Northern Ireland.
What are the grounds for the legal claim?
Under the Equality Act 2010, lawmakers and public bodies have a legal duty to consider how their actions are likely to impact people with ‘protected characteristics.’ These characteristics include age, disability, gender reassignment, marriage and civil partnership, pregnancy and maternity, race, religion or belief, sex and sexual orientation.
GLC argues that the government failed to follow the right procedures when introducing the changes to winter fuel payment eligibility and, specifically, did not carry out the required equality impact assessment.
The Department for Work and Pensions (DWP) published a ‘high-level equality analysis’ on the change in policy, following a freedom-of-information request. The analysis stated that the government had followed its legal and statutory duties ahead of introducing the changes.
But GLC argues that no “proper assessment” of the risks of limiting payments was carried out, including the impact it is likely to have on the health and wellbeing of many pensioners this winter. The lawyers also claim the government failed to consult people of pensionable age on the changes, something that is legally required.
What could happen if the case is successful?
If the court agrees that the government violated its legal duties under the Equality Act 2010, or failed to meet consultation obligations, the policy would be rendered as unlawful. The legislation could then revert back to how it was before the changes were introduced. In that case, the benefit, which is worth up to £300 a year, would be available to everyone above the state pension age once more.
Alternatively, the government could decide to go ahead with the cut, following a proper impact assessment. But it seems unlikely there would be time for this before this year’s payments go out in November and December.
Labour members vote against the fuel allowance cut
The contentious policy suffered another setback this week, when Labour members formally passed a motion calling for the winter fuel payment cut for pensioners to be reversed.
The vote, which took place on the last day of the Labour conference, is non-binding meaning the government could still press ahead with the cuts. It does, however, put further pressure on Keir Starmer.
What does the government say?
The government has repeatedly defended its decision, saying it’s right to “target support to those who need it the most,” because of the “dire state of public finances we have inherited”.
How to claim pension credit
While around 1.4 million pensioners already receive pension credit, an estimated 880,000 people are missing out on the benefit, which is worth £3,900 a year on average.
If you live alone and your weekly income is below £218.15 or you’re part of a couple and your weekly income is less than £332.95, check to see if you’re eligible.
You may still be eligible even if you earn more than this if you have a disability or care for someone.
And we’ll keep you up to date with the latest on the fast-moving winter fuel payments story.
Gabrielle Pickard Whitehead
Gabrielle is an experienced journalist, who has been writing about personal finance and the economy for over 17 years. She specialises in social and economic equality, welfare and government policy, with a strong focus on helping readers stay informed about the most important issues affecting financial security.
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