Governments “have to be fair” to pensioners but there is a case for people on the top rate of income tax to be excluded from winter fuel payments, Gordon Brown has said.
The former Labour prime minister told Sky News’ Sophy Ridge that he welcomed Sir Keir Starmer’s backtrack over his unpopular decision to means-test the allowance, which Mr Brown introduced as a universal benefit when he was chancellor in 1997.
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Asked if he thought the U-turn was the right move, he said: “Yeah. I think what Keir’s saying is the economy has improved and he feels that the country is in a better position, that they can afford to do better by the pensioner community.
“You must be fair to the different communities in your country when they’re struggling… and you’ve got to be fair to pensioners.”
Mr Brown added there is “a strong case” for winter fuel payments for pensioners, but suggested the richest in society could be exempt.
“I did bring it in as a universal benefit,” he said.
“I think there is a case, for example, for people on the top rate of tax not receiving it, but that’s something the government has got to decide.
“That was in the Labour 2015 manifesto, so I think the government’s got decisions to make… but to me, the issue is nobody should be pushed into poverty if they’re doing the right thing.
“Nobody who’s working hard or nobody who’s served the country well over their lifetime should be pushed into poverty if we can avoid it, and I believe that that’s what he’s [Keir] is really thinking about, a fairness guarantee for pensioners.”
Sir Keir announced that he would “look” at making more pensioners eligible during PMQs earlier on Wednesday.
He told MPs: “I recognise that people are still feeling the pressure of the cost of living crisis, including pensioners.
“As the economy improves, we want to make sure people feel those improvements in their days as their lives go forward.
“And that is why we want to ensure that as we go forward, more pensioners are eligible for winter fuel payment.”
While it appears a full reversal will not be implemented, the Treasury could raise the threshold at which pensioners can qualify for winter payments, which is currently £11,500.
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The decision follows significant backlash from Labour MPs, who blamed the policy on the party’s poor performance at the local elections this month.
Means-testing the winter fuel payments, worth up to £300, was one of the first policies brought in by the Labour government.
Overall, the number of pensioners eligible for the payment was slashed from 11.4 million to 1.5 million.
The government argued it would save £1.5bn each year and put the public finances under control, after claiming the Tories left behind a larger-than-expected fiscal black hole of £22bn.
However, in the aftermath of the May local elections – which saw Labour lose 189 council seats – more high-profile party figures began speaking out against the policy.
