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Scottish ministers 'in the dark' over winter fuel payment U-turn | Scottish ministers 'in the dark' over winter fuel payment U-turn |
(about 2 hours later) | |
Scottish pensioners could be worse off than those in England and Wales | Scottish pensioners could be worse off than those in England and Wales |
The Scottish government says it has been left in the dark over a surprise decision to reinstate winter fuel payments for millions of pensioners in England and Wales | The Scottish government says it has been left in the dark over a surprise decision to reinstate winter fuel payments for millions of pensioners in England and Wales |
Scotland's Social Justice Secretary Shirley-Anne Somerville said ministers were not consulted on the major U-turn announced by Chancellor Rachel Reeves. | Scotland's Social Justice Secretary Shirley-Anne Somerville said ministers were not consulted on the major U-turn announced by Chancellor Rachel Reeves. |
More than 75% of pensioners in England and Wales will be entitled to the new annual payment of up to £300 after the UK government abandoned one of its first - and most controversial - policies. | More than 75% of pensioners in England and Wales will be entitled to the new annual payment of up to £300 after the UK government abandoned one of its first - and most controversial - policies. |
Scotland has already created a devolved benefit of £100 for all pensioner households, potentially leaving hundreds of thousands of Scots worse off than their counterparts in England and Wales. | Scotland has already created a devolved benefit of £100 for all pensioner households, potentially leaving hundreds of thousands of Scots worse off than their counterparts in England and Wales. |
Last July, Reeves drew widespread criticism over cuts to the winter fuel payment - a lump sum of £200 a year for households with a pensioner under 80, or £300 for households with a pensioner over 80 - in a bid to save an estimated £1.4bn. | Last July, Reeves drew widespread criticism over cuts to the winter fuel payment - a lump sum of £200 a year for households with a pensioner under 80, or £300 for households with a pensioner over 80 - in a bid to save an estimated £1.4bn. |
In response, the Scottish government introduced a new scheme offering those in receipt of qualifying benefits like Pension Credit £200 or £300 depending on their age, and £100 for all other pensioner households. | In response, the Scottish government introduced a new scheme offering those in receipt of qualifying benefits like Pension Credit £200 or £300 depending on their age, and £100 for all other pensioner households. |
However, while the benefit for pensioners above the income threshold will be clawed back through tax, richer pensioners in Scotland will be able to keep the payment. | However, while the benefit for pensioners above the income threshold will be clawed back through tax, richer pensioners in Scotland will be able to keep the payment. |
Following the latest announcement from Westminster, Scottish pensioners who do not get pension credit but whose income is below that £35,000 threshold are expected to receive £100 less than if they lived in England or Wales. | Following the latest announcement from Westminster, Scottish pensioners who do not get pension credit but whose income is below that £35,000 threshold are expected to receive £100 less than if they lived in England or Wales. |
There are 1.1 million pensioners in Scotland living in 751,000 pensioner households. Almost 17% of these households receive pension credit. | There are 1.1 million pensioners in Scotland living in 751,000 pensioner households. Almost 17% of these households receive pension credit. |
Shirley-Anne Somerville said Scottish ministers had not been consulted | Shirley-Anne Somerville said Scottish ministers had not been consulted |
The Treasury has said the "uplift" for the Scottish government will be £250m, delivered in the usual autumn budget. | The Treasury has said the "uplift" for the Scottish government will be £250m, delivered in the usual autumn budget. |
Shirley-Anne Somerville said Scotland introduced a winter heating payment for all pensioners because of the UK government's "betrayal of millions of pensioners". | Shirley-Anne Somerville said Scotland introduced a winter heating payment for all pensioners because of the UK government's "betrayal of millions of pensioners". |
She said the Scottish government welcomed the U-turn, but "there is still no detail about how the Chancellor intends to go about that". | She said the Scottish government welcomed the U-turn, but "there is still no detail about how the Chancellor intends to go about that". |
The social justice secretary said: "We have once again not been consulted on the policy and its implications in Scotland and will scrutinise the proposals carefully when they are announced. | The social justice secretary said: "We have once again not been consulted on the policy and its implications in Scotland and will scrutinise the proposals carefully when they are announced. |
"I would therefore urge the UK government to ensure the Scottish government is fully appraised of the proposed changes as soon as possible." | "I would therefore urge the UK government to ensure the Scottish government is fully appraised of the proposed changes as soon as possible." |
Scottish Labour has called on the SNP to ensure Scots are not "left behind". | Scottish Labour has called on the SNP to ensure Scots are not "left behind". |
"The SNP must not go ahead with plans that would rob poorer pensioners in order to fund payments for millionaires," Labour MSP Paul O'Kane said. | "The SNP must not go ahead with plans that would rob poorer pensioners in order to fund payments for millionaires," Labour MSP Paul O'Kane said. |
"The SNP must re-examine their own proposals in light of this game-changing announcement, ensure payments reach those most in need, and give a cast-iron guarantee that no struggling Scottish pensioners will be left out of pocket under their plans." | "The SNP must re-examine their own proposals in light of this game-changing announcement, ensure payments reach those most in need, and give a cast-iron guarantee that no struggling Scottish pensioners will be left out of pocket under their plans." |
Peter and Flo Fanning took the UK and Scottish governments to court over the origingal benefits decision | |
Pensioners Peter and Flo Fanning, from Coatbridge in North Lanarkshire, took the UK and Scottish governments to court over the decision to cut winter fuel payments. | |
They alleged that both governments failed to adequately consult with those of pension age and did not release an equality impact assessment on the changes. | |
They also claimed the decision to end the £300 benefit for thousands of pensioners across the country last year was "irrational" and breached their human rights. | |
Speaking after the UK government's U-turn, Mr Fanning told BBC Scotland News: "We feel vindicated. There was possibly a thought from Westminster that pensioners would just roll over and lie down and accept it. | |
"What's been proved is that pensioners are a force to be reckoned with. You can't mess with them – you need to think about all the life experience they've had. | |
"I think they've got to think about the pensioners who worked all their days and got a works pension that puts them over the limit. | |
"What are they saying to pensioners? Don't save for your future because you're going to be better off if you don't have a works pension?" | |
He added: "Scotland should be the same as England and Wales. | |
"We have to hold our governments to task about the decisions they make without seeing how they affect people. | |
"Once that payment is out, I'll be very happy." | |
Does Scotland have to change its winter payment plans? | Does Scotland have to change its winter payment plans? |
The Scottish government now has a decision to make. | The Scottish government now has a decision to make. |
They had announced a devolved benefit for this winter which meant every pensioner household would get a minimum of £100 this winter. | They had announced a devolved benefit for this winter which meant every pensioner household would get a minimum of £100 this winter. |
This new UK government announcement means that households in England and Wales, where someone's income is less than £35,000, are due a payment of £200 (or £300 for households with a pensioner over 80). | This new UK government announcement means that households in England and Wales, where someone's income is less than £35,000, are due a payment of £200 (or £300 for households with a pensioner over 80). |
It's important to note that the Scottish payment is universal. The English and Welsh one is not. | It's important to note that the Scottish payment is universal. The English and Welsh one is not. |
But, all of a sudden, a cohort of Scottish pensioners – who don't get pension credit, but whose income is below that £35,000 threshold – are getting less than their English/Welsh equivalents. | But, all of a sudden, a cohort of Scottish pensioners – who don't get pension credit, but whose income is below that £35,000 threshold – are getting less than their English/Welsh equivalents. |
That puts some pressure on Scottish ministers. Do they have to change what they're planning to pay out? | That puts some pressure on Scottish ministers. Do they have to change what they're planning to pay out? |
After some conversations with people in the Scottish government, it seems they're still digesting the implications of all of this. | After some conversations with people in the Scottish government, it seems they're still digesting the implications of all of this. |
But it looks like they'll get extra money off the back of today's announcement (known as Barnett consequentials). | But it looks like they'll get extra money off the back of today's announcement (known as Barnett consequentials). |
There are already calls for that all to be used to make their payment more generous. | There are already calls for that all to be used to make their payment more generous. |
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