But one decision in particular is proving controversial already: removing Winter Fuel Payments for millions of pensioners not on pension credit.
It’s a warning sign for the government that they can blame others for the need to make tough decisions – but they will ultimately have to deal with any opposition to the decisions they make.
The backlash has grown over the summer break, with charities and opposition parties leading the charge. The Conservatives and Liberal Democrats want a vote on the change and a growing number of Labour MPs are privately worried about the decision and its political impact.
Rachael Maskell, the Labour MP who chairs the All Party Parliamentary Group for Ageing and Older People, told me: “This is not going to go away – the government cannot run away from it.”
There is an acceptance that a universal payment for all pensioners – including wealthy people – is hard to justify. The government is planning another campaign to encourage people who are eligible to sign up for pension credit as soon as possible.
But several Labour MPs I spoke to this week expected some mitigations to be announced in the coming weeks for those who are just above the pension credit threshold but still struggling.
Ideas being floated include support to people on certain council tax bands, as suggested by the personal finance expert Martin Lewis.
At the moment the Treasury isn’t budging. The chancellor writes today: “I know these are tough choices, especially on winter fuel. They were not the choices I wanted to make or expected to make, but they were the right choices to put our country on a firmer footing. Because by taking the tough decisions now to protect the public finances, we can begin the process of change.”
Some Labour MPs have been frustrated by a perceived lack of engagement from the department on the backlash they are seeing in their email inbox. The only hint at the moment is that councils in England will get cash to help people with the cost of living this winter – when the Household Support Fund is likely extended.
Source:
www.bbc.com
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