Dragons' Den star hits out at 'crazy' Winter Fuel Payment policy

Millions of pensioners will miss out on the payment from this year under Government plans and Deborah Meaden called for means testing

By Nicholas Dawson, Finance Reporter based in London, covering personal finance with a focus on the state pension and retirement planning.

Dragons' Den star and entrepreneur Deborah Meaden has shared her thoughts on the Winter Fuel Payment debacle saying the policy is "crazy".

The business expert and investor took to X to voice her opinion. She said: "I should not get winter fuel allowance. Lots of people should not get winter fuel allowance…lots should.

"A universal scheme was wrong. I’m not sure what the threshold should be but it should be means tested."

Parliament is to vote today on plans to change the eligibility criteria for the payments, so you have to be on certain means-tested benefit such as Pension Credit to get the funds, rather than most people of state pension age receiving the payments.

Several people responded with one person saying the change by Labour was an "ill informed poor decision" particularly with the energy price cap increasing next month.

They commented: "No impact assessments were carried out. OAPs weren’t given time to prepare and plan. The knowledge that MPs get £3,500 for fuel allowance has only rubbed salt in the wound."

Ms Meaden said she had some sympathy with this position, replying: " Possibly and I agree in terms of impact act assessment to set the threshold but the principle that it should NOT be universal I agree with and I really can’t see anyone sensibly arguing I should get it!!"

Others disagreed with the TV star's view as they thought the payments should remain universal. One person tweeted: "The very reasonable argument for universal WFA is that it means no-one who needs it loses out - like those 880,000 who don't claim and the many who are poor but well above the £11,300 cut off.

"If you're worried about rich pensioners paying too little, then advocate for higher tax."

Deborah Meaden talking at an event

Deborah Meaden has criticised the Winter Fuel Payment policy (Image: Getty)

The 880,000 figure refers to the many people who do not claim Pension Credit despite being entitled to the income top up benefit, which typically provides a £4,000 a year boost to a person's income.

Ms Meaden responded to the comments to further clarify her position. She said: "I will simplify my points. It should not universal because it is crazy I would have qualified.

"I am not sure they have the threshold right… in fact it looks way too low but then I haven’t seen an impact assessment."

Another person commented that the payments should be means tested and tapered. They added: "And shouldn't involve 200+ questions on the application form. The energy companies should also be picking up the tab."

Ms Meaden responded to say she "agreed" with this person's viewpoint. Another individual said there shouldn't need to be a winter fuel payment at all as "one of the main jobs of any government is to provide its citizens with cheap energy".

The entrepreneur replied: "Sadly world markets dictate energy prices but I kind of agree that a government's job is to make sure everyone can afford food, warmth, shelter."

Another person quizzed Ms Meaden as to how much she thought it would cost to means test the payments.

The business expert said: "Depends how much data in what format I had… could be pretty simple to pretty complex but I would start with HMRC and benefits."

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