Winter Fuel Payment explained – who is entitled?

The Conservatives' attempt to block Labour's controversial planned cuts to the Winter Fuel Payment has ended in defeat.

After a "tense" debate, MPs voted down the opposition motion by a "thumping majority" of 348 to 228, said the BBC – but around 50 Labour Party MPs "refused to support the government" over Rachel Reeves' planned changes to eligibility for the payments. 

Labour claimed that the vast majority of those 50 were not "defying the government", the BBC's political editor Chris Mason said, but later analysis "found around 20 Labour MPs who had previously publicly opposed the policy and who did not vote for it". 

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The benefits of the payment, designed to support older people during cold weather, were previously available to almost anyone in the UK born before 23 September 1958 regardless of income – more than 11 million people. But the chancellor announced in July that they would be restricted to only the poorest pensioners in order to plug a £22 billion spending gap: the so-called "black hole" left by the previous Tory government. The decision will save about £1.5 billion per year, Reeves said.

The move has been "very heavily criticised" by charities and opposed by the Conservatives, Liberal Democrats and SNP – as well as many Labour MPs, snowballing into the Labour government's "first political crisis", said The Guardian. Mel Stride, the Conservative shadow pensions secretary, said it would "cause untold hardship to millions".

What is a Winter Fuel Payment? 

The Winter Fuel Payment is a one-off benefit offered by the government to help older people with their heating bills when temperatures drop. Introduced in 1997 by the then chancellor, Gordon Brown, it is paid annually in the autumn.

The payment is worth between £100 and £300, depending on age and other benefits. Currently, anyone above state pension age will qualify. But the rule amendment by the new government means this will soon change and only those on means-tested benefits, including Pension Credit, will now be eligible. 

When do the Winter Fuel Payment eligibility rules change?

If you're eligible for a Winter Fuel Payment you should receive "a letter in October or November saying how much you'll get", said the government website. Subsequently, individuals can expect automatic payment in November or December.

It will be a few months before the new rule comes into effect. The official government website "has not yet been updated" to reflect the change, said the Mirror. The information should change "before November when the next batch of payments are normally sent out".

However, for those who are still eligible "how much you'll receive in Winter Fuel Payments won't be changing", the newspaper added. The benefit will still be worth up to £300 "depending on your circumstances".

What is the impact of the decision across the UK? 

The payment is a devolved matter in Scotland and Northern Ireland. But the Scottish government has said it is "deeply disappointing" that the Labour government allegedly did not consult Holyrood on its decision, wrote The National. 

The devolved government will now introduce a similar Pension Age Winter Heating Payment, which is "expected to be in place by this winter".

Elsewhere, Wales' Older People's Commissioner has "urged the Chancellor to reconsider" her plans, said Nation.Cymru, to "avoid driving more older people in Wales into poverty".

Hundreds of thousands of pensioners will also miss out on the payment despite still being eligible for it, according to the Government's calculations. Of the 2.2 million lower-income pensioners who qualify for Pension Credit, only about 1.32 million actually claim it, said the i news site. The government has launched a campaign to improve take-up.

What other support is available? 

Assistance is in place to help those on a limited income access help with energy bills during periods of cold weather. Perhaps the most helpful is the cold weather payment, available to any age receiving other benefits such as Pension Credit, Income Support, income-based Jobseeker's Allowance, income-related Employment and Support Allowance and Universal Credit (with some exceptions). 

When the average temperature at your nearest weather station drops to zero degrees Celsius or below for seven days in a row, those eligible will receive £25.

There is also the Warm Home Discount: a £150 one-off discount on electricity bills for those who receive Pension Credit or live in a low-income household. 

With the new restrictions on Winter Fuel Payment coming into play, it is "more important than ever" to check your entitlement to Pension Credit and other forms of support, said MoneySavingExpert.

This can be done via the government's official Pension Credit calculator.