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Winter Fuel Payments could be reinstated for ALL pensioners this winter if new legal challenge succeeds – here's what you need to know

Parliament House in Edinburgh, where Scotland's Court of Session sits
Petar Lekarski
Petar Lekarski
Assistant Editor – News & Investigations
26 September 2024

Millions of pensioners could see their Winter Fuel Payments reinstated this winter as a charity has launched legal proceedings against the UK Government, aiming to reverse its decision to restrict the payments to those on certain benefits. It's still very early days and there are no guarantees, but here's what you need to know.

A type of legal claim known as judicial review has been mounted in Scotland's highest court, the Court of Session, by Govan Law Centre (GLC). The case has been raised on behalf of a pensioner couple living in Scotland who will be ineligible for the Winter Fuel Payments following changes announced in July.

However, while the case is being raised in Scotland, its outcome could also apply in England, Wales and Northern Ireland, as the Court could strike down the UK-wide regulations which brought the changes into force.

Martin Lewis: 'It's an interesting turn in the tale – but the chances of success depend on who you listen to'

Martin Lewis
Martin Lewis
MSE founder & chair

Speaking on BBC Radio 5 Live on Thursday 26 September, Martin said: "If this were to succeed – and there's quite a track record in Scotland of this type of thing going through to challenge Government decisions – it could mean it forces the Government [...] to do an equality impact assessment, which is not quick.

"That would mean they could not impose the universal cut this year, so it would delay it. This is my interpretation: it wouldn't stop it happening, but it would postpone it for a year.

"Of course, this is a legal case, so the chances of success depend on who you listen to. The Govan Law Centre think they've got a decent chance of success of getting this through. [So] there are decisions that need to be made. But it is a very interesting turn in the tale."

Martin: "People I think will be up to speed on the fact that the Government decided that Winter Fuel Payments for pensioners will no longer be universal. It will effectively be means-tested, and the main criteria is: do you get Pension Credit? Which is a top-up of the state pension for people who earn less than around £11,400 a year.

"Now, obviously there was a vote at Labour conference. It was an indicative vote last night. And, even at [the] Labour conference, it was voted against. And there's been much campaigning.

"Well, this morning, the Govan Law Centre in Scotland – which I happen to know pretty well because I worked with them a lot during the campaigns to get people their PPI money back (they are a campaigning law centre in Scotland) – is doing a case with two pensioners to effectively judicially review the decision of the Scottish Government and its interpretation of the UK Government over cancelling the Winter Fuel Payment.

"Now what they're specifically challenging over is, under the Equality Act of 2010, public bodies – including lawmakers – have a duty to consider how their decisions and actions will affect people with different (what are called) protected characteristics, which include age and disability.

"The Govan Law Centre’s main argument is the Government failed to comply with this when it did the changes to the Winter Fuel Payment. Specifically, it didn't carry out a detailed equality impact assessment. So it's quite technical here. There was an impact assessment, but they say it isn't a sufficient equality impact assessment.

"Now, if I cut through all the legals… I mean there are some things: will they get the funding for the lawsuit [for example]. But they have the challenge.

"It could, if this were to succeed – and there's quite a track record in Scotland of this type of thing going through to challenge Government decisions... It could mean it forces the Government, before it does the decision, and that's the Government for the whole of the UK, to do an equality impact assessment. Which is not quick, which would mean they could not impose the universal cut this year.

"So it would delay it. This is my interpretation: it wouldn't stop it happening, but it would postpone it for a year.

"Of course, this is a legal case, so the chances of success depend on who you listen to. The Govan Law Centre think they've got a decent chance of success of getting this through. [So] I mean there are decisions that need to be made.

"But it is a very interesting turn in the tale, that someone is trying to effectively do a judicial review – and this is [the] Govan Law Centre [which] has a track record, it's a campaigning law centre – on this to try and stop the Government's decision or at least postpone its decision to stop the universality of Winter Fuel Payments."

The legal claim alleges the Government didn't follow correct procedure when making the changes

Under the Equality Act 2010, public bodies – including lawmakers – have a duty to consider how their decisions and actions will affect people with different 'protected characteristics', which include age and disability.

GLC's central argument is that the Government failed to comply with this duty when enacting the changes to Winter Fuel Payment eligibility. Specifically, GLC says that the Government did not carry out a detailed equality impact assessment as required.

In response to a recent Freedom of Information request, the Department for Work and Pensions published a 'High Level Equality Analysis' on the shake-up, and stated: "The Government has followed its legal and statutory duties ahead of introducing these changes and will continue to do so."

However, GLC claims that the published analysis is inadequate and does not meet the requirements of the Equality Act, as there was no "proper assessment" of the risks of restricting the payments, or of the extent of the adverse impact on those who will lose them, including what it means for their health and wellbeing this winter.

Separately, GLC will also argue that the Government had a legal duty to consult people of state pension age about the changes but failed to do so.

What could happen if the case succeeds

If the Court finds that the Government didn't fulfil its duties under the Equality Act 2010, or didn’t follow procedural fairness by failing to consult pensioners, then this would render its decision to restrict the payments as unlawful.

The Court could then void the regulations which brought the changes into effect and order the Government to do a full impact assessment. This would take us back to the position we would have been in before the policy was announced.

Crucially, the Government could take the judgment away and make the same decision again having done the correct impact assessment. However, it's thought that it would not have enough time to do this before the payments are due to be made in November and December. This would effectively mean reinstating the payments for all pensioners this winter.

But all of this is far from guaranteed, as the case is still at a very early stage – though GLC says it's seeking to fast-track proceedings. We'll keep this story up-to-date with the latest.

What does the Government say?

A Government spokesperson declined to comment on the legal case, instead reiterating that it was right to "target support to those who need it most" due to the "dire state of public finances we have inherited".

How the Winter Fuel Payments changed

Previously, Winter Fuel Payments worth up to £300 had been made available to EVERYONE above State Pension age in the UK (most recently, this included those born on or before 24 September 1957).

However, in July, the Government announced that this would no longer be the case. Instead, starting this winter (2024/25), you would only be able to get a Winter Fuel Payment if you're:

  1. Over State Pension age; AND

  2. Receiving one of the following benefits:

    - Income Support;
    - Income-based Jobseeker's Allowance;
    - Income-related Employment and Support Allowance;
    - Pension Credit; or
    - Universal Credit (for example, through a joint claim with your partner).

At the time of the announcement, MoneySavingExpert.com founder Martin Lewis warned that this is "too narrow a group", and he has been calling on the Government to rethink.

Check you're not missing out on help you're entitled to

The upcoming change to Winter Fuel Payment eligibility means it's more important than ever to make sure you claim what you're entitled to.

As Martin has noted, over 800,000 people who are eligible for Pension Credit don't currently get it, and it's often a key to qualifying for other help – so may unlock £1,000s of extra support. Use our 10-minute benefits check to see what you could get.

If you're struggling, it's also worth contacting your council to see what help it can offer. Under the Household Support Fund, which was recently extended to April 2025, councils in England can access funding to help those most in need with the cost of daily essentials, including energy bills. Local authorities in Northern Ireland, Scotland and Wales run similar schemes, which will also receive additional funding.

Winter Fuel Payment changes challenged in court

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MSE Email 1 October 2024

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