‘No choice’: Minister defends cutting winter fuel payment ahead of vote

The government has “no choice” but to cut winter fuel payments for the majority of pensioners, a minister has said ahead of MPs voting on the controversial plan.

The move – which will see around 10 million people lose the payment of up to £300 to help with energy costs – has been defended by Labour, who said “tough decisions” need to be made in light of the £22bn “black hole” in public finances.

Business secretary Jonathan Reynolds told Sky News: “We have no choice… We’re fixing the foundations [of the economy], and that’s a difficult message today.

“But it’s not just to correct the problem, it’s to make sure your house is better in future and the better future we want, more prosperity for everyone, comes through stability and responsibility.”

However, some MPs from Labour’s own side, as well as charities and opposition MPs, are calling for a U-turn, saying the policy will leave less well-off pensioners with “a heart-breaking choice between heating and eating this winter”.

Ahead of the vote, Prime Minister Sir Keir Starmer will deliver a speech to the Trades Union Congress (TUC) conference in Brighton, where many in the audience will be in vocal opposition to the policy.

He will attack the previous Conservative government for having “salted the earth of Britain’s future to serve themselves”, but appeal for partnership with the unions to fix it, telling them: “The crisis we have inherited means we must go deep into the marrow of our institutions, rewrite the rules of our economy and fix the foundations so we can build a new home.”

Sir Keir will add: “Economic rules written in the ink of partnership will be more durable and long-lasting – whoever is in power. So it is time to turn the page, business and unions, the private and public sector, united by a common cause to rebuild our public services and grow our economy in a new way.

“We will keep to the course of change, reject the snake oil of easy answers, fix the foundations of our economy and build a new Britain. More secure, more prosperous, more dynamic, and fairer. A country renewed and returned, calmly but with confidence, to the service of working people.”

The winter fuel payment was introduced in 1997 by then Labour chancellor Gordon Brown as a universal benefit, with all people above state pension age entitled to it.

However, the current Labour chancellor, Rachel Reeves, now wants the payment to be limited to those entitled to Pension Credit – around 1.5 million people – to save public money.

Making the announcement in July shortly after her party won the general election, Ms Reeves laid the blame at the door of the previous Conservative government, claiming they had made “commitment after commitment without knowing where the money was going to come from”.

While she said the decision to scrap the benefit was “difficult”, it was “necessary and urgent” to fix the money problems that had been left behind.

The prime minister has continued to stand by the move, insisting additional “safeguards” are in place for pensioners already on benefits.

He added: “I am determined that we will take tough decisions because the change which is improved living standards, people feeling better off, better public services, dealing with crime and immigration and issues like that, that change will only happen if we fix the foundations now.”

Further potentially unpopular measures, including possible tax rises, are expected next month when Ms Reeves delivers her first Budget.

But Sky News understands as many as 30 MPs are unhappy with the winter fuel payment cut, though they are likely to abstain on the vote rather than go against the party – especially in light of Labour suspending seven of its MPs in July for six months after they rebelled over keeping the two-child benefit cap.

The general secretary of one of Labour’s major union backers, Unite, also accused the party of “picking the pockets of pensioners”.

Speaking to Sky News from the TUC conference, Sharon Graham said the country was “in crisis” and the new government needed to “make very, very different choices” – including introducing a wealth tax “on the biggest and richest 1% in society”.

The Conservatives are among the opposition parties putting forward their own motions to try and stop the cut – though with Labour’s large majority, the government is likely to win the vote.

Former prime minister and Tory leader Rishi Sunak reiterated his accusation that Sir Keir was choosing to “cut vital support for pensioners to fund an inflation-busting pay rise for train drivers”, calling it “unnecessary and wrong”.

He added: “The last Conservative government always made sure to protect our vulnerable pensioners, because we believe that those who have worked hard all their lives deserve security and peace of mind in retirement.

“But within weeks of coming into power Labour are cutting the winter fuel payments, with potentially devastating consequences.

“Labour MPs know this is indefensible – they must do the right thing and force the government to come clean about the impact this punishing cut will have.”

Also speaking ahead of the vote, Liberal Democrat leader Sir Ed Davey said the government “should do the right thing and change course” as cutting the winter fuel payment would “put untold stress on pensioners, with many facing a heart-breaking choice between heating and eating this winter”.

Confirming his party would vote against the cut, he added: “While we understand the dire state the Conservatives left the public finances in, now is not the time to be cutting support to some of the most vulnerable people in our society.

“We cannot stand by and allow millions of pensioners to endure another winter in a cost of living crisis.”

The SNP’s Westminster leader, Stephen Flynn, also urged Scottish MPs on the Labour benches to follow his party’s lead and vote down the change in policy, saying: “The last UK government hammered the economy, public services and household incomes by imposing 14 years of cuts and Brexit.

“The last thing the UK needs now is more cuts from the Labour Party – and pensioners will face a bitter winter if these cuts go ahead.”