Unite union threatens legal action over cuts to pensioners’ winter fuel payments

Unite union threatens legal action over cuts to pensioners’ winter fuel payments

4 Nov    Finance News, News

The Unite union has issued a stark warning to the UK government over its controversial decision to cut the winter fuel payment for millions of pensioners, threatening to pursue a judicial review if the policy isn’t reversed.

Initially announced in July and confirmed in the latest budget, this policy aims to address a £22 billion gap in public finances. However, it has sparked widespread criticism, with Unite general secretary Sharon Graham calling it a “cruel” measure that “picks the pockets of pensioners.”

As a result of the cuts, up to 10 million pensioners will lose winter fuel payments worth between £100 and £300. Only those on pension credit or other means-tested assistance will continue receiving the benefit. Graham urged the government to reconsider, stating it is “not too late” to “do the right thing” and reinstate the payment for all pensioners.

Unite’s legal team sent a pre-action letter to the government on 29 October, naming Works and Pensions Secretary Liz Kendall as a proposed defendant. The letter argues that the government failed to conduct a thorough assessment of the policy’s impact on vulnerable groups, especially amid escalating living costs and cold weather risks. Although the government released a limited “equalities analysis,” it admitted there was no comprehensive assessment.

Unite insists the government had a duty to consult the Social Security Advisory Committee and gather further evidence on the cuts’ impact, particularly on vulnerable and disabled people. With cold weather on the horizon, the letter describes the situation as “urgent” for pensioners who risk “disconnection” and are already cutting back on essentials.

See also  New CBI boss Rain Newton Smith doesn’t take lobby group’s future ‘for granted’

The government responded by reaffirming its commitment to supporting pensioners through the triple lock, which will raise state pensions by up to £1,700 during this parliamentary term. It also highlighted other measures, including the warm home discount and the increase in pension credit claims.

Prime Minister Sir Keir Starmer defended the “tough” decision, attributing it to financial pressures inherited from previous governments. In Scotland, a couple has also secured permission to pursue a separate legal challenge against both the UK and Scottish governments over the benefit’s removal, underscoring the broad opposition to the policy.


Jamie Young

Jamie Young

Jamie is a seasoned business journalist and Senior Reporter at Business Matters, bringing over a decade of experience in UK SME business reporting. Jamie holds a degree in Business Administration and regularly participates in industry conferences and workshops to stay at the forefront of emerging trends. When not reporting on the latest business developments, Jamie is passionate about mentoring up-and-coming journalists and entrepreneurs, sharing their wealth of knowledge to inspire the next generation of business leaders.

Leave a Reply

Your email address will not be published. Required fields are marked *