Three-quarters of pensioners spent their winter fuel payment last year on costs such as heating, hot water and running household appliances, new research shows.
The payments, worth £100 to £300 a year, are now means-tested, prompting a widespread campaign calling on older people eligible for pension credit to sign up by December 21 to keep them.
Age UK has found that before the new rules, 77 percent of people aged 66 and over – the equivalent of 9.2 million pensioners – used the money to pay fuel-related household bills.
The charity’s survey of pensioners found:
– A quarter of the elderly, which amounts to 3 million, spent the payment on hot water
– Almost as many spent it on cooking meals, and one in five on running appliances such as washing machines
– A fifth of the poorest elderly used their winter fuel payment to buy food.
Apply for pension credit: Below you can read how you can supplement your weekly income
Utility bills: Nearly one in five retirees previously spent their winter fuel payments running appliances to prepare meals
Age UK asked pensioners how they could meet their energy bills this winter.
-About 55 percent, equivalent to 6.6 million people aged 66 and over, said they should turn down the heating or limit the number of hours they use it.
– That rises to 63 percent among the poorest retirees, those in the three most disadvantaged social and economic groups (known as C2DE).
– About 25 percent, or 3 million retirees in total, said they would have to reduce the duration or number of baths or showers they take.
– And 10 percent, representing 1.2 million in total, planned to reduce the number of hot meals they eat.
– Among the poorest pensioners this rises to 15 percent.
Age UK surveyed 1,034 people aged 66 and over, drawn from a wider group aged 50 and over, weighted to be nationally representative of this cohort of the UK population in terms of age, gender, ethnicity, social rank and region.
Caroline Abrahams, charity director at the organisation, said: ‘It is no surprise to us at Age UK, nor should it be to anyone else, that the vast majority of older people spent their winter fuel payment on energy-related costs last year. year.
‘With fuel prices having risen so much compared to five or ten years ago, even older people who expected to be relatively comfortable in retirement have been affected and forced to tighten their belts.
“And for those who don’t have a lot of money on hand, utility bills have become a source of real anxiety.”
‘Knowing they would receive their winter fuel payment removed some of the fear of unaffordable fuel bills and this universal right was highly valued by retirees as a result.’
Abrahams warns that the change in policy is already causing problems for older people and undermining their health, and that things are likely to get worse this winter.
“Once again we reiterate our call for the government to recognize the harm their decision to brutally pilot the winter fuel payment is causing to millions of older people, and to take action to soften the blow.”
Age UK says Labor in Scotland has pledged to reintroduce the Winter Fuel Payment as a universal right if they come to power in 2026.
Meanwhile, the Northern Ireland government is giving every pensioner who loses payment this winter £100 to help with energy bills, but in England and Wales older people have a similar need, she added.
Celebrity campaign: From left to right, Sue Holderness, Jane Asher and Brian Cox urge older people to check if they can claim a pension credit
Successor Brian Cox is currently leading a celebrity campaign urging retirees to claim a pension credit, which will increase weekly income to at least £218.15 for singles and £332.95 for couples.
Cox is joined by film and TV actor Jane Asher and Sue Holderness, who played Marlene in sitcom Only Fools and Horses, launched by national charity Independent Age.
If you submit a pension credit application before the December 21 deadline that proves successful, your payments will be backdated for up to three months and you will be eligible for the winter fuel payment.
According to recent research from Royal London, one in six retirees would be embarrassed to tell their family that they have applied for a pension loan to supplement their income.
It found that of seniors who have found out they qualify for a retirement credit, 11 percent have not yet filed and only 2 percent plan to do so in time to receive the winter fuel payment.
Royal London, which runs its own campaign under the banner Take The Credit, last month surveyed more than 1,200 people aged over 66 from all regions of Britain about their attitudes to pension credits and other issues.
The company said: ‘We need to spread the message that there is no shame in accepting help that is available.
‘Times have been difficult in recent years, so it is important that we come together and encourage retirees, whether they are family, friends or neighbors, to explore all possible support options.’
How to apply for pension credit and where to get help with claims
If you are elderly and not wealthy, your weekly income is supplemented with a pension credit of up to at least £218.15 for singles and £332.95 for couples.
On average it is worth around £4,000 a year on its own, but a pension credit also opens the door to lots of extra help with household bills.
You can earn thousands of pounds on top, including help with housing costs, heating, council tax, TV licenses if you’re over 75, and other bills.
Learn more about pension credit here and about the rules about who qualifies here.
You can register by telephone at 0800 99 1234claim pension credit online or receive a form to do this by post.
A friend or family member can submit an application on behalf of an older person.
STEVE WEBB ANSWERS YOUR PENSION QUESTIONS
In Scotland, a new winter heating benefit at retirement age will eventually replace the winter fuel payment.
But for this winter, eligible people over state pension age will receive a benefit in line with the Winter Fuel Payment, and this will be means tested. Bill here if you live in Scotland And here for Northern Ireland.
Age UK staff provide assistance with applications. Any senior struggling with bills, or friends and family concerned about it, can call 0800 169 6565.
This line is open every day of the year from 8am to 7pm, or you can drop by Age UK’s help page here.
It also has a free, anonymous benefits calculator who can provide an estimate of what you may be entitled to if you want to know this information privately.
Age UK notes that the Domestic Support Fund has been expanded to help households in need with bills and essential costs during the winter.
Money needs to be set aside specifically for the elderly, so it says they should contact their local authority to see if they are entitled to any support.
Independent Age, a charity focused on improving the lives of older people in financial difficulty, offers help through its freephone line 0800 319 6789.
Advisors from the charity carry out benefits checks to ensure callers have access to all available support, including pension credit and the winter fuel payment.
What does the government say?
“We are committed to supporting pensioners – with millions set to see their state pension increase by up to £1,900 in this parliament through our commitment to the triple lock,” a spokesperson for the Department for Work and Pensions said.
‘More than a million pensioners will continue to receive the Winter Fuel Payment, and our drive to boost the take-up of pension credits has already led to a 152 per cent increase in claims.
‘Many others will also benefit from the £150 Warm Home Discount and Cold Weather Payments this winter, while our extension of the Household Support Fund will help with the costs of food, heating and bills.’
Some links in this article may be affiliate links. If you click on it, we may earn a small commission. That helps us fund This Is Money and keep it free to use. We do not write articles to promote products. We do not allow a commercial relationship to compromise our editorial independence.