Pension Credit: Uptake

We have launched the next phase of our pension credit campaign on radio, TV and print media, and the Government have written to 120,000 pensioners on housing benefit who may be eligible but are not currently claiming pension credit. After less than five months in government, we are bringing forward the merger of housing benefit and pension credit, which the Conservatives announced 13 years ago but failed to deliver.

Under the previous Conservative Government, many eligible pensioners in Sunderland Central did not receive the pension credit that they were due. When I speak to organisations such as Age UK Sunderland, they tell me that that was often because people did not know how and whether to claim. How many pensioners are now taking up pension credit thanks to the actions taken by this Government?

We have seen a 152% increase in pension credit claims since late July, with over 74,000 pension credit claims up to mid-September. We know that many local authorities and, indeed, Members of this House—including me last Thursday—are helping pensioners on low incomes to ascertain whether they are due pension credit.

There will be people who are eligible for pension credit living in very remote areas, where connectivity is less than great. It is an appalling thought that they might miss out on what they are due. May I suggest to the Department that the way to reach out to those people might be through a database, followed by a mailshot?

In addition to merging housing benefit and pension credit, which will help some of the people whom the hon. Gentleman has in mind, the Secretary of State and I have asked the Department to look at what can be done to make the application form simpler. The Department will report back to us by the end of the month, and we will update the House in due course.

I welcome the Government’s campaign to get people to sign up for pension credit, and I urge every pensioner in Gower to sign up and attend my pension credit event on 22 November. Does the Minister agree that we should highlight the fact that pensioners who go over the threshold could still be eligible because they receive another benefit, such as attendance allowance, or because higher housing costs are taken into account when applying?

Yes, indeed. Assessing somebody for pension credit is a complex procedure, so we urge all those on low incomes to check whether they are eligible. We have seen an increase in the number of people applying online with the help of local authorities, Members of Parliament and charities, and we urge everybody who thinks that they might have an eligible family member to encourage their loved ones to apply.

Temperatures are set to drop to zero across Scotland by next weekend. Many pensioners are scared to put on their heating, with the Big Issue reporting a three-month delay in claims for pension credit. Can the Minister let us know what she is doing to ensure that those claims are processed as quickly as possible so that people can get the money into their pockets?

I thank the hon. Lady for her question. We want people who are eligible to get support, and we have redeployed 500 staff to process those claims. I can assure her that that is something that we are focused on.

We come to the shadow Minister.

The withdrawal of the winter fuel payment from 10 million households, including 70% of disabled pensioners, is a huge change, as is using pension credit to distribute the benefit to the minority of people who will still get it, yet the Government have rushed this change through without giving their own statutory advisory committee the chance to properly scrutinise it. Ministers have not even responded to the chair of the committee, who wrote to them several weeks ago with suggestions on how to mitigate the effect of the policy. On top of that, they have failed to provide a full impact assessment to show what the effect on poverty would be. Will they finally produce a full impact assessment of this policy, and when will the Minister respond to the chair of the advisory committee?

I welcome the hon. Gentleman to his place. In answer to his questions, we have published an equality analysis, which he can find on the Government’s website. Owing to the legislation, we do not have to produce an impact assessment, but there is an equality analysis. I urge him to have a look at that. All I would say to him is that the new Leader of the Opposition argued in 2022 that winter fuel payments should be means-tested. I wonder how the hon. Gentleman might means-test the winter fuel payment, if he had the chance.

The Minister mentions the equality assessment. That was a high-level equality assessment that was only dragged out of the Government in response to a freedom of information request. The fact is that they are avoiding accountability for this policy and avoiding scrutiny by the House. The Government are saying that the impact of the cut on the poorest pensioners will be mitigated by pension credit, and we have heard from the Minister about the very small numbers who are taking up pension credit in response to this announcement. Their own figures predict that fully a third of eligible pensioners—that is 750,000 of the poorest people in the country—will not get pension credit and will not get the winter fuel payment. That is what the Government are banking on. That is how they are making the savings that they predict from this policy: by cutting benefits to some of the poorest people in our country—[Interruption.] The Minister shakes her head, so she might want to put me right. Does she want all eligible pensioners to claim pension credit? [Interruption.] The Secretary of State says yes. If she does want that, does she then accept that the Government’s savings from this policy will be completely wiped out?

Yes, and no.

I call the Liberal Democrat spokesperson, Steve Darling.

On Armistice Day, it is important that we as a Chamber reflect on the Royal British Legion and its “Credit their Service” campaign. This is a campaign to ensure that when benefits are calculated, military compensation is disregarded. In the light of this, will the Secretary of State give serious consideration to disregarding military compensation when calculating pension credit?

I associate myself with the hon. Gentleman’s comments and those of my right hon. Friend the Secretary of State. I will look carefully at what the hon. Gentleman has suggested and get back to him.