Rachel Reeves ignores own Labour MPs warning that pensioners will die with winter fuel cut

The Chancellor met Labour MPs and peers to defend the controversial move.

By Sam Lister, Political Editor based in the Westminster lobby

Rachel Reeves is refusing to back down over winter fuel cuts despite warnings from her own MPs that pensioners will die.

At a meeting of the Parliamentary Labour Party, the Chancellor insisted she is “not immune” to concerns over stripping 10 million retirees of up to £300.

But she will not water down the plans ahead of a vote on Tuesday despite furious opposition from backbenchers.

She told the PLP: “I understand the decision that this Government have made on winter fuel is a difficult decision. I’m not immune to the arguments that many in this room have made. We considered those when the decision was made.”

BRITAIN-POLITICS-PARLIAMENT

Conservative leader Rishi Sunak (Image: UK PARLIAMENT/AFP via Getty Imag)

Ms Reeves added: “Tomorrow, we get data for earnings growth, which will inform the increase in the pension next year. We are protecting the triple lock, not just for this year, but for the duration of this Parliament.”

She said there would be “more difficult decisions to come.”

“I don’t say that because I relish it. I don’t, but it is a reflection of the inheritance that we face. So, when members are looking at where to apportion blame, when pensioners are looking where to apportion blame, I tell you where the blame lies.

“It lies with the Conservatives and the reckless decisions that they made.”

Labour backbencher Richard Burgon said he would not be able to look constituents in the eye and “kick them in the teeth”.

He told LBC: “I think these cuts will result in the deaths of pensioners who won't be able to turn the heating on. These are examples from my constituency.

“Other colleagues have them the same. So, we really hope that the government listens to colleagues, listens to the public, and thinks again before tomorrow.”

Rishi Sunak urged Labour MPs to “do the right thing” by voting down “callous” cuts to winter fuel payments.

In his first major intervention since the general election, the former Prime Minister hit out at “cowardly” Keir Starmer for claiming he does not have the money for the allowance while hiking up public sector pay.

Mr Sunak accused his successor in No 10 of making a political choice to put “union bosses, swelling the state or civil servants” ahead of pensioners.

Writing in the Express, he said “Sir Keir cowardly points his finger at the previous administration to explain his choice.

“He falsely claims he hasn’t got the money despite inheriting the fastest growing developed economy in the world. It just won’t wash.

“The maths don’t add up.”

Mr Sunak said Sir Keir is spending £8.3 billion on an “unnecessary” energy quango that does not produce power, has cancelled money-saving civil service reforms and spent billions on pay deals.

But the government has not carried out an impact assessment to check on the impact the changes will have, showing “just how callous this policy is”.

He added: “They don’t need to do this. I urge Labour MPs to put people before politics and vote against this unfair choice.

“As the days get colder and the energy bills rise, too many pensioners will face painful choices unless Labour MPs do the right thing and back our vote.

“There are a lot of difficult decisions in politics. This is not one of them.”

The government is axing the universal winter fuel allowance, which is £200 for pensioners under 80 and £300 for those over to save £1.5 billion.

Instead, only retirees claiming pension credit and some other benefits will be eligible.

It means the 11.4 million people currently in receipt will drop to just 1.5 million.

The move means there will be a cliff-edge with many pensioners just above the breadline left having to find hundreds of extra pounds this year.

Around 50 Labour MPs are deeply unhappy with the cuts but are largely expected to abstain rather than vote against the measures on Tuesday to avoid being suspended from the party.

A Home Office minister raised hopes on Monday morning that the government was planning to soften the policy, but was quickly slapped down by Downing Street.

Dame Diana Johnson said theGovernment was working to ensure all pensioners who are entitled to Pension Credit claim the benefit, adding that she is “sure” other mitigations are being looked at by ministers.

However, Treasury sources said she “misspoke and No 10 sources insisted the cuts would go through as planned.

Sir Keir held a Cabinet meeting on Monday morning and his top team unanimously united behind plans.

Ministers “agreed” on the importance of “fixing the foundations of the economy” by taking tough and unpopular spending decisions, a Number 10 spokeswoman said.

She added: “The Prime Minister opened Cabinet by stating the importance of fixing the foundations of our economy in order to carry out the Government’s mandate for change,” the spokeswoman said.

“He said that, given the scale of inheritance, this would be difficult and that tough decisions are unpopular decisions, but it is the tough decisions that will enable change for this.”

Some 17 Labour MPs have now signed a motion put forward by Neil Duncan-Jordan, one of the parliamentary party’s newly elected members, calling on the Government to delay implementing the cut.

More are understood to privately be against the changes.

The motion has also been backed by six of the seven MPs who lost the party whip in July after voting against the King’s Speech over the Government’s refusal to abolish the two-child benefit cap.

Ministers continue to insist the cut is necessary to help fill a £22 billion “black hole” in this year’s budget left by their Conservative predecessors.

Unite union general secretary Sharon Graham accused Labour of deciding to “pick the pocket of pensioners” while leaving the richest “totally untouched” and urged Sir Keir to “do a U-turn” on means-testing the allowance.

Chancellor Rachel Reeves last night addressed the Parliamentary Labour Party in an effort to address backbench concerns.

Tory leadership hopeful James Cleverly said: "It is appalling that they have taken this decision without a democratic mandate to do so. It is further evidence that Labour's priorities are completely wrong; they have waged war on the elderly whilst showering their union paymasters with cash.

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