Each pensioner in Scotland will obtain a winter gas fee subsequent 12 months, the Scottish authorities has introduced.
Social Justice Secretary Shirley-Anne Somerville instructed the Scottish Parliament these in receipt of qualifying advantages like Pension Credit score would get £200 or £300 relying on their age, whereas all different pensioners would get £100.
The funds shall be paid via a brand new Holyrood profit, which is not going to be prepared till late 2025.
The UK authorities scrapped common entitlement to winter gas funds – that are set at both £200 or £300 – earlier this 12 months, with solely these on Pension Credit score or different advantages eligible.
The Scottish authorities was attributable to take over duty for winter gas funds in September – however the introduction of a brand new common profit north of the border was delayed after the UK authorities resolution.
Somerville stated the change to UK eligibility guidelines left it with a £150m shortfall, and it had no selection however to push its plans again till late 2025.
The change means an estimated 900,000 pensioners in Scotland are shedding out on a gas fee this winter.
Scottish Conservative social safety spokeswoman Liz Smith accused ministers of “hoodwinking” pensioners by “pretending” that the total winter gas fee was being launched, when some will really obtain a decreased £100 fee.
‘Harsh actuality’
Somerville instructed MSPs that by subsequent winter these Scots can be entitled to the newly-devolved pension age winter heating fee (PAWHP).
She stated: “This common profit – offering much-needed help not accessible anyplace else within the UK – will ship help for all pensioner households as we had all the time meant to do earlier than the UK authorities resolution to means-test winter gas funds minimize the funding accessible to help our new profit in Scotland this winter by £147m.
“We is not going to abandon older individuals this winter or any winter.
“We are going to do our greatest to verify no-one has to decide between heating and consuming, and we are going to proceed to guard pensioners.”
The social justice secretary additionally introduced an additional £20m in welfare funding for councils on this monetary 12 months, in addition to an extra £20m for the Hotter Properties Scotland Scheme.
There shall be an additional £1m for social landlords and the third sector for homelessness prevention work.
Somerville’s assertion has been seen by some as an try to outmanoeuvre Scottish Labour chief Anas Sarwar, who’ve vowed to undo among the cuts imposed by their Westminster colleagues.
Labour MSPs had called on the Scottish government to make use of additional UK authorities funding heading to Holyrood on account of the Chancellor’s Autumn assertion to supply common protection to pensioners this 12 months.
Labour MSP Paul O’Kane highlighted that the £41m help bundle introduced by Somerville for this this monetary 12 months is the same as a money increase coming to Holyrood via a rise in Treasury spending on the UK Family Help Fund.
He additionally pointed to an increase of £3.4bn in next year’s Scottish Budget as a result of chancellor’s autumn spending announcement.
The UK authorities stated the choice to chop winter gas funds was made attributable to a “black gap” in public funds left by the earlier Conservative authorities.
Prime Minister Keir Starmer stated a rise within the state pension – which is ready to rise by £460 per 12 months in April – would “outstrip” losses for individuals who wouldn’t obtain the winter gas fee.
Nevertheless, the state pension enhance shall be unfold over the 12 months from subsequent April, whereas the winter gas fee is often paid in November or December.
Surge in profit claims
It has been beforehand reported that as much as 40% of eligible pensioners don’t apply for Pension Credit score.
Nevertheless, new UK government figures present a spike in claims for the reason that chancellor revealed her plans to means check the winter gas fee.
Reeves introduced the transfer on 29 July. Within the 16 weeks since then, about 150,000 Pension Credit score purposes have been made throughout the UK – up by virtually 150% in contrast with the 16 weeks earlier than the chancellor’s assertion.
But the variety of approvals has risen by simply 17% over the identical interval, whereas refusals virtually doubled from 27,100 to 53,100.
Which means 81,000 extra pensioners have acquired the additional money for the reason that summer season, out of a doable 880,000 individuals who the federal government believes are eligible for the cash.
The UK authorities is urging pensioners to test if they’re eligible for the profit.
Those that apply earlier than 21 December will obtain backdated funds of each Pension Credit score and the winter gas allowance.
The Division for Work and Pensions has deployed 500 additional employees to deal with claims for the profit.