Reeves faces trouble over winter fuel allowance cut. Reports suggest that opposition parties are planning to force a debate on the issue, which could tempt some Labour MPs to rebel…reports Asian Lite News
Rachel Reeves and Keir Starmer could face another Labour rebellion over plans to withdraw a winter fuel payment to 10 million pensioners after it was confirmed energy bills will rise over winter. The Chancellor has been urged to reconsider her decision to restrict winter fuel payments to only those receiving pension credit.
Reports suggest that opposition parties are planning to force a debate on the issue, which could tempt some Labour MPs to rebel against the Government.
The Conservative Party has submitted an Early Day Motion which, if selected, would force the Government to hold a Commons debate on its decision to restrict the benefit.
It could give Labour MPs space to push back against the Prime Minister and his Chancellor, and would put pressure on the Government to hold a vote in Parliament to prove they have support for the policy.
The motion has been signed by Rishi Sunak, shadow Chancellor Jeremy Hunt, shadow Work and Pensions Secretary Mel Stride and shadow Energy Secretary Claire Coutinho. Other opposition parties can sign too.
The Green Party is also against making the payment means tested and has urged the Government not to do so. Lib Dem sources did not rule out also supporting a vote to reverse the policy.
And a Labour backbencher said she, and some of her colleagues, were open to supporting such a motion if put forward in the House of Commons, once MPs return from summer break.
In July, the Labour leader suspended seven MPs from the party after they rebelled against his Government and backed an amendment to scrap the two-child benefit limit.
On Friday, it was confirmed that the energy price cap will rise by 10 per cent from October, meaning the average household bill will increase by £149.
The Greens’ co-leader, Carla Denyer, told i: “Consumers are paying high prices for a crisis not of their making. This will be deeply worrying news for all those people already struggling to pay their bills.”
She called for “a nationwide programme of government-backed, council-delivered home insulation starting immediately”, and added: “We also now need the Government to maintain the winter fuel payments for all pensioners and end means testing so that they know they can afford to keep warm.”
Labour MP Rachael Maskell said she would not rule out backing the opposition if there is a debate – adding other backbenchers would join her.
Speaking on Times Radio, she said: “I would have to see what the motion said but I think Government should lead this initiative and ensure that it is protecting the most vulnerable.”
She said “many” of her colleagues have written to the Chancellor to ensure “old people feel safe and warm in their own homes”.
“I know that there are backbenchers which are applying for a debate because we do need to discuss the whole issue of energy security for older people and particularly ahead of what could be a cold winter,” she said, adding: “I know that there are many colleagues which are concerned about these measures and certainly we’ve written to the Chancellor and have asked for a meeting so that we can discuss these measures in full.”
The change is due to be brought in on 16 September and MPs are back from summer recess on 1 September.
Means-testing the winter fuel payment is expected to save the Government £1.4bn this year, which Labour said was necessary to make up the gap between the previous government’s spending plans and the money that was made available to fund them.
The Chancellor is also under pressure to extend the Household Support Fund which gives cash grants to councils of up to £290 per person to help the most vulnerable with essentials such as food and clothing.
The loss of this, along with scrapping universal winter fuel allowance, an average fuel bill rise of £149 per household and rising rent and mortgage costs are all adding to the cost of living pressures.
The Government has not yet ruled out extending the Household Support Scheme, which is due to end in September, or replacing it in some form.
Lib Dem local government spokesperson Helen Morgan MP said there was “no end in sight” for financially struggling families in UK. She blamed the Tory legacy but said the new Labour Government has a “massive challenge ahead”.
The Government said it was supporting retirees by committing to the triple lock state pension increase, and said more than a million would continue to receive winter fuel payments.
Energy Security and Net Zero Secretary Ed Miliband said: “The rise in the price cap is a direct result of the failed energy policy we inherited, which has left our country at the mercy of international gas markets controlled by dictators.
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