Finance expert warns of ‘tough winter for our pensioners’

THOUSANDS of local pensioners could be in for a ‘very cold Christmas’ if Stormont follows the lead taken by Keir Starmer earlier this week, according to a local jobs, benefits and housing expert.

On Monday evening the British Government announced they would be dispensing with universal winter fuel payments and substituting them with a means-tested system.

For millions of people of retirement age in England, Scotland and Wales, this will end their entitlement to a one-off annual remittance worth between £100 and £300.

Speaking with the UH earlier this week, Michael Roddy of Omagh Independent Advice Services said local people need their MLAs to resist mimicking the model introduced by Starmer’s Labour Government.

“For those unsure of what the winter fuel payment scheme is, it is a guaranteed payment that is given to all people of pension age every autumn, irrespective of their income or savings.

“Now, for reasons that are sort of obvious, it is an imperfect system. The big flaw is that it entitles people with lots of money to a payment that they don’t need, which is an unnecessary waste of public money.”

pension credit

Under the new plans announced by the chancellor earlier this week, only people on pension credit (£218 per week) will be eligible for the payment. People who get standard state pension (£221 per week), which is basically the pension you accrue by paying national insurance, will be entitled to nothing.

To illustrate just how unfair the new system is, Mr Roddy drew upon a hypothetical example, but one which he said will be a common occurrence wherever this new policy is made a reality.

“Imagine you have two neighbours living side by side, same savings, same family situation, same everything. But the only difference is that one is on pension credit and the other is on their standard state pension.

“Well, if Stormont decide to be guided by what has happened across the water, one of those people will justly get somewhere around £400 to help them afford fuel costs through the winter months. The other, however, will get nothing.”

Concluding he said, “I don’t have the perfect way of fixing the system. But I know that it cannot entail taking these payments from people who – and make no mistakes about it – will not have money to heat their homes this winter.

“Local people really need their MLAs to oppose this one.”