Rory Poulter
Sun 3 November 2024
-Credit: (Image: Getty)
The Unite union, which is a major financial backer of Labour MPs, is launching a legal challenge to overturn the abolition of the Winter Fuel Payment. The abolition of the payment, which is worth £100-£300, has left 10 million pensioners out of pocket ahead of the winter.
Some estimates suggest as many as 4,000 of older people may die as a result of medical conditions made worse by living in a cold and damp house. The Chancellor, Rachel Reeves, has faced condemnation from backbench Labour MPs, charities and the opposition for removing the universal payment by limiting it the poorest individuals who qualify for Pension Credit.
But now she and the government face the embarrassment of a challenge from a Labour-supporting union that has donated more than £500,000 to more than 80 of the party’s MPs sitting in the House of Commons.
Unite has launched a judicial review process on behalf of the union and its retired members to overturn the government’s decision to cut the winter fuel payment to all but the poorest pensioners. It has sent a pre-action protocol letter to Liz Kendal the secretary of state at the Department for Works and Pensions (DWP), requesting the government reverse the removal the Winter Fuel Payment and repeal the regulations introduced in August 2024.
Unite’s case is built on the belief that the government has acted unlawfully, and its action will have a terrible effect on millions of older people in society and will likely cause an increase in cold related deaths. The government has been given until November 7 to respond to the letter and reverse its decision or face an application to the High Court to mount a full judicial review to decide on whether the decision was legal.
The Unite General Secretary, Sharon Graham, who has often criticised the Labour leadership, said: “People do not understand, I do not understand how a Labour government has taken away the fuel allowance of millions of pensioners just as winter approaches.
“Given the failure to rectify this in the budget, Unite has now commenced judicial review proceedings challenging the legality of the policy. It is not too late for Labour to register the hurt that this cruel policy has caused, step back from picking the pockets of pensioners and do the right thing.”
The union has identified several of its members to put forward as test cases, all of whom are on low incomes in retirement, but none of them qualify for pension credit and therefore are no longer eligible for the Winter Fuel Payment.
Unite is challenging the removal of the Winter Fuel Payment on several grounds including:
• The government had a legal duty to refer the cut to the Social Security Advisory Committee. Its failure to do so makes the regulations void.
• The government should have gathered considerable evidence about the policy on the impact of the cut, meaning that the decision is irrational.
• Under the Equality Act there is a Public Sector Equality Duty to consider the impact of the decision particularly on the disabled who have higher heating costs.
• The requirement to take into account relevant considerations has been breached, including relating to fuel poverty and financial circumstances of those living just above the pension credit threshold.
• In Wales there is a specific legal duty to consider the full impact of the policy, this was ignored
• The Human Rights Act requires particular areas of vulnerability to be taken into account, which could include the impact of the policy on older people, those with a disability and potentially on race.
The union said that given the cut has already come into effect and the worsening winter weather it is hopeful the High Court will grant an early hearing.
Prime Minister Sir Keir Starmer previously defended the "tough" decision to cut the universal benefit.
Sir Keir said the cut was necessary because of the state of the country’s finances, accusing previous governments of avoiding confronting issues like the cost of winter fuel payments. In Scotland, a couple has also been given permission to proceed with their own legal bid against both the UK and Scottish governments over scrapping the benefit.
Christopher McKeon, PA Political Correspondent
Sun 3 November 2024
A major trade union has threatened legal action over the Government’s decision to means-test winter fuel payments.
Around 10 million pensioners will no longer receive the benefit from this winter after the Government decided to restrict payments to people on pension credit in a bid to save money.
Ministers said the move was necessary to help fill a £22 billion “black hole” they claim the previous government left in this year’s spending plans.
But the trade union Unite said it believed the cut to winter fuel payments would have a “terrible effect” on millions of pensioners and demanded the Government reverse its decision or face a judicial review.
Unite general secretary Sharon Graham said: “People do not understand, I do not understand how a Labour government has taken away the fuel allowance of millions of pensioners just as winter approaches.
“Given the failure to rectify this in the budget, Unite has now commenced judicial review proceedings challenging the legality of the policy.
“It is not too late for Labour to register the hurt that this cruel policy has caused, step back from picking the pockets of pensioners and do the right thing.”
The union said it believed the Government had breached its legal duties by not referring the cut to the Social Security Advisory Committee (SSAC) and by failing to consider the impact on disabled people, among other grounds.
Ministers are not required to refer regulations on benefits to the SSAC if they are a matter of “urgency”, something the Government relied on when implementing the winter fuel cut.
The Government also conducted an “equalities analysis”, which was released under the Freedom of Information Act, but has been criticised for not carrying out a full impact assessment of the policy.
Unite has given the Government until November 7 to respond to a pre-action letter sent last week and reverse the cut, otherwise it would request permission from the High Court for a full judicial review.
The push for a judicial review of the policy will further strain relations between Labour and Unite, which had previously been a significant donor to the party.
The union has already expressed opposition to the winter fuel payment cut, staging a protest outside this year’s Labour Party conference over the issue.
A Government spokesperson said: “We are committed to supporting pensioners – with millions set to see their state pension rise by up to £1,700 this parliament through our commitment to the triple lock.
“Over a million pensioners will still receive the winter fuel payment, and our drive to boost pension credit take up has already seen a 152% increase in claims. While many others will also benefit from the £150 warm home discount to help with their energy bills over winter.”
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