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Lobbyists access parliamentary emails using IT loophole

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Lobbyists who previously worked as aides in the House of Commons have accessed confidential information from parliamentary email systems because Westminster authorities failed to close their accounts after they left.

Two ex-aides to MPs told the Financial Times they logged in to access the private contact details of MPs and their staff after they had taken up jobs at lobbying firms.

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One said they had been asked by their new boss at a lobbying firm to use their continued access to Commons IT systems to get private email addresses that are not available to the public.

“They would ask me to go in and get email addresses from the internal systems for the six weeks I still had access after leaving,” the ex-aide said.

Others said they were able to see emails sent to their former MP’s inbox, which would have enabled them to see confidential constituent information as well as the parliamentarian’s private messages.

The ex-aides also said the access would have enabled them to see security information circulated to MPs and staff in parliament.

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The revelations suggest the parliamentary authorities are failing to properly secure private or confidential information, even after a high-profile China spying scandal.

In April, a UK parliamentary researcher and another man were charged with spying for China after allegedly providing information that could be “useful to an enemy”.

The two were accused of giving “articles, notes, documents or information” to a foreign state, according to the Metropolitan Police. Both pleaded not guilty on Friday.

Parliament has different bodies responsible for various parts of its operations. The Independent Parliamentary Standards Authority (IPSA) handles payroll for MPs staff, but the aides are legally directly employed by their MPs. IPSA is separate from Parliamentary Digital Services, which handles email systems.

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Two ex-aides said parliamentary authorities did not automatically close email accounts when a staffer’s employment ended.

“To close an account, the MP or office manager has to inform Parliamentary Digital Services directly the person has left,” one of the aides said. 

“If the MP is disorganised, or just a new MP with limited training on running their office, then it’s very possible that an account may remain for months until security clearance expires,” they added.

A third former staffer added: “You go through such a rigorous security process to get your pass, it’s mad they don’t restrict access to parliamentary accounts as soon as you leave.

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The Labour party, which swept to power at the July UK general election after 14 years in opposition, last month privately warned its parliamentary staff about the risk of access by ex-employees.

It said in an email to all Labour parliamentary staff that it was “vital” that staffing records were kept updated so that anyone who had left Westminster was immediately prevented from receiving information.

The party added that only one member of each MPs office should be on internal mailing lists at any given time to prevent confidential information being leaked.

Many former MPs’ staff move into lobbying roles upon exiting parliament. These jobs frequently involve contacting parliamentarians — often the ones who formerly employed them — on behalf of commercial clients.

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This year hundreds of aides left parliament largely because of the July general election, when 175 Conservative MPs lost their seats.

A House of Commons spokesperson said: “Network accounts sponsored by MPs are audited throughout the course of every Parliament, with accounts closed and access to the parliamentary estate removed, as soon as we are told to by either the sponsoring MP or by IPSA.”

They added: “Individual MPs, as the sponsors of their staff and owners of the data, are required to inform us of any changes or closures.

An IPSA spokesperson said: “Parliamentary accounts are administered by Parliamentary Digital Service, and IPSA sends data on a weekly basis confirming any members of staff whose leaving date has passed.”

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‘Stock up now’ warning to anyone sending cards this Christmas ahead of major price change in HOURS

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'Stock up now' warning to anyone sending cards this Christmas ahead of major price change in HOURS

BRITS planning to send Christmas cards have been warned to stock up ahead of a major price change in just hours.

Royal Mail has confirmed first-class stamps will go up in price tomorrow.

Brits planning to send Christmas cards have been warned of a major price change

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Brits planning to send Christmas cards have been warned of a major price changeCredit: Alamy
Martin Lewis said you should stock up on stamps now

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Martin Lewis said you should stock up on stamps nowCredit: Rex

The stamps will rise for standard letters by 30p from £1.35 to £1.65 – the second hike in a year and a 22% increase.

First-class stamps for large letters will go up from £2.10 to £2.60 – a 24% rise.

However, you can beat the hike somewhat by stocking up on stamps now so you don’t need to buy new ones come Christmas.

Martin Lewis previously said: “For years, every time stamps go up in price I’ve suggested people stock up and bulk-buy in advance.

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“Provided the stamp doesn’t have a price on it and instead just says the postage class, it’s still valid after the hike.

“So you may as well stock up now, even if it’s just for Christmas cards for the next few Christmases.”

Royal Mail said it had tried to keep any price hikes on stamps as low as possible in the face of inflation and slumping demand.

It also cited the costs associated with maintaining the Universal Service Obligation for deliveries six days a week.

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But Ofcom said Royal Mail could be allowed to drop Saturday deliveries for second class letters under an overhaul of the service.

Martin Lewis energy warning

Under plans being considered, second class deliveries would not be made on Saturdays and would only be on alternate weekdays.

But delivery times would remain unchanged at up to three working days.

Ofcom said no decision had been made and it continues to review the changes.

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The regulator aims to publish a consultation in early 2025 and make a decision in the summer of next year.

Royal Mail has urged the Government and Ofcom to review its obligations.

The firm argues that it is no longer workable or cost-effective, given the decline in number of letter volumes being posted.

The delivery giant has previously said volumes have fallen from 20billion in 2004/5 to around 6.7billion in 2023/4.

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The average household now receives four letters a week compared to 14 a decade ago.

What is rising?

Royal Mail previously raised the price of first class stamps from £1.10 to £1.25 last October, before hiking them again in April.

Right now, a first class stamp costs £1.35, which covers the delivery of letters up to 100g.

Historically, the cost of stamps has steadily increased over the years, reflecting inflation and operational costs. For example, in 2000, a First Class stamp was priced at 41p.

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A second class stamp is currently priced at 85p and also covers letters up to 100g. The cost of second-class stamps isn’t rising from October 7.

The stamps can be bought individually if you buy it at a Post Office counter.

Otherwise, you can typically buy them in sets of multiple stamps.

The first class service typically delivers your post the next working day, including Saturdays, while the second class service usually delivers within 2-3 working days, also including Saturdays.

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For larger letters, the cost of a first class stamp is £2.10 for items up to 100g, and a second class stamp for the same weight is £1.55.

Parcel delivery prices vary based on size and weight, starting from £3.69 for small parcels.

Additional services include the “signed for” option, which requires a signature upon delivery and adds an extra level of security.

The cost for first class signed for is £3.05, and for second class Signed for, it is £2.55.

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The “special delivery” service guarantees next-day delivery by 1pm with compensation cover, with prices starting from £7.95.

Royal Mail periodically reviews and adjusts stamp prices, so it is advisable to check the latest rates on their official website or at your local Post Office.

How are postage prices decided?

Royal Mail typically increases the price of stamps annually and this year the price rose in April.

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Normally, it gives customers advance warning of around a month before pushing up prices.

This year the hike was announced in March.

Royal Mail said it is hiking the price of postage due to the decline in the number of people sending letters.

It blamed rising inflation for the increase too.

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It also cited the costs associated with maintaining the so-called Universal Service Obligation (USO) under which deliveries have to be made six days a week.

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Will Northern Ireland get new electricity link from Scotland?

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Will Northern Ireland get new electricity link from Scotland?
Getty Images A blonde woman adjusts the temperature of her house with a dimmer - stock photoGetty Images

The GB energy regulator, Ofgem, will decide later this month whether or not to support a new electricity link between Scotland and Northern Ireland.

Transmission Investment says its project, known as LirlC, aims to provide up to 700MW of capacity between the Irish Single Electricity Market and the Great Britain wholesale electricity market.

The company says this would improve security of supply at a time when NI’s electricity system is set for major change.

But the project has been complicated by a post-Brexit blind spot in energy regulation.

Getty Images Map of UK and Ireland zoomed in on Northern Ireland and ScotlandGetty Images

A cable of about 80 miles would link two convertor stations between Northern Ireland and Scotland

The scheme would involve building two convertor stations, one in Northern Ireland and one in Scotland, and a cable of about 80 miles linking the two, depending on the final route.

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Normally interconnectors which include a link to GB are developed under Ofgem’s “cap and floor” regime, which provides a guarantee of how much money they will make.

It gives developers a minimum return (floor) and a limit on the potential upside (cap) for a 25-year period.

Earlier this year Ofgem made an initial assessment of eight different interconnector schemes which want to operate under the ‘cap and floor’ regime.

It rejected seven of them, including the LirlC project.

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It concluded that as prices are generally higher in the Single Electricity Market, which covers Northern Ireland and the Republic of Ireland, most of the flow on the interconnector would be from Scotland to NI.

That would lead to an increase in demand for the power being generated in GB, so increasing costs for GB consumers.

On that basis Ofgem said the project fails its social and economic welfare test.

PA Media A phone screen reading 'Your latest energy bill'. A five pound note, two pound coins, and a 50p coin are next to it.PA Media

Transmission Investment has contested Ofgem’s conclusions that it would increase costs to GB customers

‘Complicated’

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The developer, Transmission Investment, contests Ofgem’s conclusions and has submitted its own economic modelling ahead of final determination.

But that interim ruling demonstrates how, as a GB regulator, Ofgem is not in a position to consider whether the project might be good for NI.

“The regulatory environment is complicated,” says Professor David Rooney, the director of the Centre for Advanced Sustainable Energy at Queens University, Belfast.

“While Ofgem are required to support the UK’s wider net zero ambitions they focus on supporting projects in GB to improve the market and ultimately customers.”

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He added that while Northern Ireland does not have an interconnection policy, the Department for the Economy is working on one in partnership with the NI Utility Regulator.

One industry source told the BBC the position has been further complicated by Brexit with no overarching body able to guide projects which cut across different UK regulators.

“That’s the missing piece since we left the EU because that role was provided by ACER (Agency for the Cooperation of Energy Regulators).

“That mechanism doesn’t exist for a UK piece of infrastructure. Nobody is there saying ‘this is good overall for the UK, so how do we spread the burdens and benefits?’,” the source said.

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‘Substantial economic benefits’

In a statement Transmission Investment said: “Credible independent analysis has shown that the LirIC interconnector project will deliver substantial economic benefits for Northern Ireland and GB whilst also enhancing security of supply and enabling net zero.”

It added that the project continues as they await decisions from Ofgem and the Utility Regulator.

“We look forward to moving at pace with governments and regulatory authorities to ensure that the frameworks are in place to enable the UK to achieve its net zero ambitions,” the statement said.

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A spokesperson for Stormont’s Department for the Economy said it is on track to deliver research on interconnectors and storage as detailed in its 2024 Energy Strategy Action Plan.

“We are working to ensure that the North South interconnector is constructed by 2028 and seeking to optimise the capacity of the existing Moyle interconnector through reinforcement work in the Belfast area,” they added.

They said it would be inappropriate to comment on the LirIC project while the work of the independent regulator is ongoing.

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On Freedom — Timothy Snyder’s timely manifesto for our fearful age

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What is freedom and why does it matter? Timothy Snyder’s answer is that “freedom is the absolute among absolutes, the value of values. This is not because freedom is the one good thing to which all others must bow. It is because freedom is the condition in which the good things can flow within us and among us.”

This sounds abstract. But it is not. Snyder knows how precious and fragile freedom is because he has studied and, in Ukraine, even seen what happens to people when brutes take it away.

A professor at Yale, Snyder is one of the foremost historians of central and eastern Europe. Among his many books are Bloodlands: Europe Between Hitler and Stalin — which explains how those monsters fed upon each other — and On Tyranny: Twenty Lessons from the Twentieth Century, which tells us where we might be heading.

Snyder is no ivory tower academic. He seeks to make the world a better place via his books and his Substack, which is notably clear-eyed on the neo-fascism of Donald Trump’s Republican party.

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His knowledge of tyranny is invaluable in analysing freedom. But Snyder’s book goes well beyond history. He discusses the thought of Edith Stein, a German Jewish philosopher who converted to Catholicism and died in Auschwitz. He quotes the French philosopher Simone Weil, the dissidents Václav Havel and Adam Michnik, and the leading critic of Karl Marx, Leszek Kolakowski, He includes his own experiences from his home in Ohio to his studies in central and eastern Europe, teaching in an American prison and being in Ukraine during Russia’s genocidal war. All this makes On Freedom intellectually rich, yet personal.

The book starts from a passionate conviction that freedom is not negative — and so defined by the absence of external constraints — but positive, and so defined by what we are able to do. The latter, in turn, depends on what we get from others. For Snyder, then, the capacity to recognise others as beings like ourselves is the foundation of freedom. Without that, we will treat others as objects, not subjects, and finish up with tyranny.

Thus, he argues, “We enable freedom not by rejecting government, but by affirming freedom as the guide to good government.” Politically, freedom means democracy. A democracy of equal citizens is incompatible with an oligarchy protected by “negative freedom”. If, as in the US today, the law says that money is speech and corporations are people, it creates a plutocracy, “Freedom” then becomes a synonym for privilege.

What do these points mean in practice? Snyder’s answer is that “The connection between freedom as a principle and freedom as a practice are the five forms of freedom”. These are “sovereignty, or the learned capacity to make choices; unpredictability, the power to adapt physical regularities to personal purposes; mobility, the capacity to move through space and time following values; factuality, the grip on the world that allows us to change it; and solidarity, the recognition that freedom is for everyone.”

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Together, these “forms” make those of us lucky enough to live in liberal democracies free members of a free society. As a child of refugees from Hitler who grew up during the cold war, I know what this means, as does Snyder. Notably, all of these forms depend on actions by others. They cannot be achieved by individuals on their own.

As Snyder notes, “Babies who are left alone learn nothing.” Children cannot acquire the personality and knowledge needed to be a free member of a free society on their own. Their achievement of individual sovereignty depends on what others do. But the ability of adults to act freely also depends on the honesty and competence of the judges, policemen, public servants and all those who pay their taxes and do vital jobs.

Unpredictability is evidently a form of freedom. Free people must be able to do and think what they wish, not just what governments want. That is what tyrannies seek to prevent. They want to make people predictable. The digital screen, argues Snyder, seeks to achieve the same outcome.

Mobility is the challenge for mature people, says Snyder. A free society should indeed be a mobile one. But, he emphasises, mobility includes social mobility. A hereditary oligarchy is the opposite of such mobility.

This drives Snyder’s hostility to negative freedom — the idea that one is free once one is liberated from restrictions imposed by governments. This perspective is solipsistic and so “antisocial”. In the US, he argues, the “elevation of negative freedom in the 1980s set a political tone that lasted deep into the twenty-first century”. The purpose of government was “not to create the conditions of freedom for all but to remove barriers in order to help the wealthy consolidate their gains.”

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Moreover, “The more concentrated the wealth became, the more constrained was the discussion — until, in effect, the word freedom in American English came to mean little more than the privilege of wealthy Americans not to pay taxes, the power of a few oligarchs to shape the discourse, and the unequal application of criminal law.”

Snyder condemns the populism offered by Trump as “sadopopulism”. True populism, he argues, “offers some redistribution, something to the people from the state; sadopopulism offers only the spectacle of others being still more deprived.”

Factuality is fundamental: neither an individual nor a collective can make decisions without information. “Truthfulness”, argues Snyder, “is not an archaism or an eccentricity but a necessity for life and a source of freedom.” Deliberate lies of the kind that Trump and JD Vance have been telling about the consumption of pets by Haitian immigrants in Ohio make a mockery of democracy and so of freedom. Vladimir Putin is today’s master of such lies.

Values may differ, but if politics is to work at all, there needs to be some agreement on the facts. Here the difficulty, Snyder notes, is not just manipulative politicians but digital media. The advertising revenue needed to support journalism, especially local journalism, has been swallowed by digital behemoths. Investigative journalism has largely disappeared, and politics drowns in a tidal wave of conspiracies and lies.

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Not least, argues Snyder, there must be solidarity. This follows from his most fundamental proposition that I am free because others are free. This is what makes the bonds of citizenship, on which freedom depends, work. If I am better off than others, I have an obligation to pay the taxes on which the freedom of others depends. This is the argument for sharing of the costs of bringing up children and of maintaining the health of all. At the limits, it means fighting in the defence of one’s country’s freedoms, as Ukrainians are doing. As Snyder insists: “Morally, logically, and politically, there is no freedom without solidarity.”

On Freedom fails fully to recognise that competitive markets are both a form — and a source — of freedom. Yet Snyder is not hostile to markets. On the contrary, he rightly insists that “Markets are indispensable, and they help us to do many things well. But it is up to people to decide which things those are and under which parameters markets best serve freedom.”

Snyder is right about what is most important. He understands that freedom means choosing among competing values and accepting disagreement, while respecting the democratic rules over how it is managed. But freedom does not mean giving the wealthy the right to buy elections or the powerful the right to tear up the votes of people they dislike. Freedom is a precious gift. We have to defend it.

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On Freedom by Timothy Snyder Bodley Head £25, 368 pages

Martin Wolf is the FT’s chief economics commentator

Join our online book group on Facebook at FT Books Café and subscribe to our podcast Life & Art wherever you listen

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Ex-cabinet secretary says £200,000 job is ‘massively underpaid’

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Ex-cabinet secretary says £200,000 job is 'massively underpaid'

Former cabinet secretary Lord O’Donnell has said the position of top civil servant is “massively underpaid”.

He is involved in the recruitment process for the £200,000-a-year role, following Simon Case’s decision to step down on health grounds.

Lord O’Donnell, who held the post between 2005 and 2011, told the BBC the “incredibly demanding job” should have a higher salary.

The cabinet secretary is the UK’s most senior civil servant.

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The job involves advising the prime minister, leading implementation of the government’s policies and managing other high-level civil servants.

Speaking to BBC Radio 4’s The Westminster Hour, Lord O’Donnell described the position as a “huge job”.

He said: “It’s massively underpaid in my view – given I’ve been paid a lot more since, to do a lot less.”

Lord O’Donnell served as cabinet secretary under three prime ministers. He was promoted to the post under Tony Blair in 2005, and he remained in the role for Gordon Brown’s premiership between 2007 and 2010.

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He stepped down in 2011, under the David Cameron-led coalition government.

Recruitment is under way to replace the current cabinet secretary, Simon Case, who has said he will step down by the end of the year.

Announcing his resignation, Mr Case said he had been undergoing medical treatment for a “neurological condition” for the past 18 months.

He stressed that his resignation was “solely to do with health and nothing to do with anything else”.

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Lord O’Donnell said whoever replaces Mr Case will need to have a “good relationship” with the prime minister’s chief of staff, Sue Gray.

“Sue knows the civil service backwards,” he said. “That should be one of the easiest parts of the job, I would say.”

Ms Gray, previously a senior civil servant herself, was at the centre of a row over her own salary in September, after the BBC revealed she is paid £170,000 a year.

This is more than the prime minister, who earns £166,786.

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DWP to pay state pensioners £300 Winter Fuel Payment even if they don’t claim Pension Credit

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DWP to pay state pensioners £300 Winter Fuel Payment even if they don't claim Pension Credit

THOUSANDS of households could still be eligible for the £300 Winter Fuel Payment even if they do not claim Pension Credit.

The Winter Fuel Payment is a state benefit paid once a year to pensioners to help cover the cost of heating during colder months.

Thousands could still be eligible for the Winter Fuel Payment even if they don't claim pension credit.

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Thousands could still be eligible for the Winter Fuel Payment even if they don’t claim pension credit.Credit: Getty

The handout was previously available to everyone aged above 66 and helped with high energy bills.

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But Chancellor Rachel Reeves revealed earlier this year the cash would only be given to retirees on pension credit, or other means-tested benefits.

To meet the criteria for Pension Credit you must have a weekly income which falls below around £218 if you are single.

If you live with a partner and you are both state pension age then your weekly income must fall below around £350.

It is thought around 800,000 pensioners meet the criteria for pension credit and have not applied.

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So it is always worth checking your eligibility to see if you have a chance.

However, the top-up is not the only way to qualify for the Winter Fuel Payment.

For example, older Brtis who are living in a different country can still get the £300 cash boost.

This is because of a loophole in the Brexit Withdrawal Agreement, which sets out the rights of British expats living in European countries.

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Citizens who meet the criteria can claim a Winter Fuel Payment (WFP) if they move to an eligible country before December 31, 2020.

The Sun launches our Winter Fuel SOS campaign

To be eligible, citizens must also:

  • Have been born before September 23, 1958
  • Be receiving a benefit paid by the UK, such as a State Pension
  • Have a genuine and sufficient link to the UK, such as having lived or worked in the UK, or having family in the UK
  • Receive a qualifying means-tested benefit from the country they live in

You will need to claim Winter Fuel Payment even if you have got it before. The payment is not made automatically when you live abroad.

The eligible countries you can live in and claim are:

  • Austria
  • Belgium
  • Bulgaria
  • Croatia
  • Czech Republic
  • Denmark
  • Estonia
  • Finland
  • Germany
  • Hungary
  • Iceland
  • Ireland
  • Italy
  • Latvia
  • Liechtenstein
  • Lithuania
  • Luxembourg
  • Netherlands
  • Norway
  • Poland
  • Romania
  • Slovakia
  • Slovenia
  • Sweden
  • Switzerland

If you live abroad and want to apply for the Winter Fuel Payment you can find out more about submitting your application by clicking the link here.

Other ways to meet the criteria

A partner below the state pension age may also be eligible for the £300 payment if they live with a partner who is over state pension age and they jointly claim benefits. These include:

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  • Universal Credit
  • income-related Employment and Support Allowance (ESA)
  • income-based Jobseeker’s Allowance (JSA)
  • Income Support
  • Child Tax Credit
  • Working Tax Credit

So for example, if you are 65 and your partner is 66 and you both claim benefits, your partner will be eligible for the Winter Fuel Payment.

If you do not have a partner and still claim any of the above benefits you could still be entitled to the Winter Fuel Payment.

If you want to check your eligibility then it is worth checking out our article here.

You can also find free-to-use online benefits calculators to work out what you’re entitled to.

For example, Age UK has an online calculator which helps you work out what benefits you could be entitled to including the Winter Fuel Payment and Pension Credit.

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According to the site, it takes 10 minutes to complete and you will need the following information:

  • Your savings
  • Your income, including your partner’s if you have one
  • Any benefits or pensions you’re already claiming, including anyone you’re living with.

The calculator is free to use and confidential.

Help at hand

The Sun has launched a ­Winter Fuel SOS campaign to help thousands of pensioners worried about their energy bills.

We want to hear from you by phone or email — and it’s fine if you are calling or messaging on behalf of a friend or relative.

Our panel includes former ­pensions minister Sir Steve Webb, pensions expert Baroness Ros ­Altmann and consumer champion Martyn James.

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They will be joined by The Sun’s Head of Consumer Tara Evans and Sun Savers Editor Lana ­Clements.

And even if you aren’t eligible for the payment, our team will be ­sharing tips on how to switch energy providers and save money, get help if you’re in debt or simply need to save this winter.

Your cases will be considered by our panel, who will aim to give you advice within one week of your call or email.

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Boeing strikers prepare for long haul

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Boeing production workers last went on strike 16 years ago. But the “Fighting Machinists” still know how to do it.

Three weeks into industrial action sparked by a dispute over pay and benefits, a well-oiled system sustains picket lines outside the Washington state plants where many of the manufacturer’s aircraft are normally built.

At the union hall in Seattle, workers split logs to feed the burn barrels that keep picketers warm at night, while debit cards are distributed that allow them to pick up weekly strike pay of $250, funded by the union. Twelve miles away in Renton, strikers can help themselves to sandwiches, clam chowder and chilli, while a food bank is stocked with canned soup and boxes of macaroni and cheese.

Further north in Everett, where Boeing’s 777 and 767 planes are assembled, union members Sara Beecher and Ken Ogren drive between picket lines to check that people are not going hungry.

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“You guys need anything?” Ogren asked strikers at each stop when the Financial Times visited this week. “Water? Pizza?”

The strike is the latest crisis the company has faced in the past five years. Twin crashes that triggered the worldwide grounding of the 737 Max, the Covid-19 pandemic and then January’s door panel blowout on a commercial flight have left Boeing $53bn in debt, having disgorged $8.3bn in cash this year.

Ken Ogren offers pizza to picketers while riding in a union shuttle as Boeing workers picket outside of the Boeing Everett factory during an ongoing strike in Everett, Washington
Ken Ogren offers pizza to striking workers in Everett © David Ryder/FT
Union members cut wood, which will be burned for warmth at picketing locations, at a temporary union hall as Boeing workers picket outside of the Boeing Everett factory during an ongoing strike in Everett, Washington
Union members prepare logs to keep strikers warm at night © David Ryder/FT

Needing about $10bn in cash on hand to fund its operations, the company faces the prospect of having to sell stock worth at least that amount to raise capital. Delivering aircraft — which is when customers make the bulk of their payments — is critical to the company’s goal of protecting its investment-grade credit rating.

But operations in the Pacific Northwest have ground to a halt after union members, frustrated with meagre pay rises during years of higher inflation, the elimination of their defined benefit pensions after a bruising fight in 2014 and a history of disrespect from top executives, voted 96 per cent last month to go on strike.

The union and Boeing are scheduled to meet on Monday with a federal mediator for further negotiations.

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Bank of America analyst Ron Epstein estimated the strike is costing the company $50mn a day while delaying Boeing’s plans to improve manufacturing quality. Success on that front dictates when aviation regulators will allow the company to build up production of the Max above 38 a month, an increase that is essential to meeting Boeing’s goal of generating $10bn of free cash flow a year in 2026.

“The issues all feed into each other, creating a continuous doom loop while compounding the negative impacts,” Epstein said.

The industrial action has been a long time coming. The International Association of Machinists and Aerospace Workers District 751 told its 33,000 members several years ago to start saving funds to weather a strike.

Long-serving Boeing employees say the company’s culture changed after its merger with McDonnell Douglas in 1997. The leadership of executives such as Jim McNerney, who adhered to the corporate philosophy pioneered by Jack Welch at General Electric of cutting costs to improve Wall Street’s returns, squeezed the jet maker’s workers and suppliers to increase value for investors.

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A Boeing worker walks to a picket site
A Boeing worker walks to a picket site. The company’s latest offer to lift their pay 30% over four years is ‘just offering me a loss’, said Chris Cerovich, a union steward © David Ryder/FT

McNerney sparked worker outrage in 2014 when he boasted his leadership had left employees “cowering”.

Earlier that year, faced with a Boeing threat to move work on the 777 to its non-union plant in South Carolina unless workers’ traditional pensions were scrapped, union members agreed 51 per cent to 49 per cent to accept a contract that included less generous retirement arrangements. Union members said the company’s offer of $10,000 bonuses at the time of ratification swayed many younger workers hired in the run-up to the vote, and that turnout was suppressed because the union’s national leadership scheduled the in-person vote during the Christmas holidays.

The anger has not faded and is one factor powering the strike. Among a collection of labour movement paraphernalia on display at the Seattle union hall, one pin stands out: the machinists’ emblem, printed with the words “We cower to no one!”

“Everybody’s mad because of what they did,” said electrician Richard Clifford. “They’re just mad. That’s pretty much it.”

With wages having risen 4 per cent between 2016 and 2024, Boeing’s latest offer to lift them 30 per cent over four years is “just offering me a loss”, said Chris Cerovich, a union steward and quality assurance lead at Boeing’s spare parts centre in Seattle. “Who wants to accept a loss?”

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Boeing brought in former Rockwell Collins chief executive Kelly Ortberg two months ago with the mission to lead the company to recovery. Ortberg has said he wants to “reset” Boeing’s relationship with its workforce and met in August with District 751 president Jon Holden.

The union started negotiations by asking for a 40 per cent pay rise over four years, which Epstein estimates would add about $1.3bn in costs by 2028, assuming average pay of $100,000.

A Boeing worker pickets outside of the Boeing Everett factory during an ongoing strike in Everett, Washington
A striking worker on the picket line. The machinists are in a position of considerable power, given Boeing’s current woes © David Ryder/FT

Many picketers said Boeing no longer commanded the rarefied status as an employer it once held.

Billy Lorig, a union steward and Boeing veteran of almost three decades who brought younger colleagues out for a 4am shift on the picket lines last month so they could get used to the chill and the quiet, is frustrated by how many of them see Boeing as a job, rather than a career.

“Boeing used to be the elite company to work for in the past, and it’s not any more,” he said. “They’re still good, but they used to be great.”

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Melius Research analyst Robert Spingarn found median pay at Boeing decreased 6 per cent between 2018 and 2023, while rising 12 per cent at 17 other aerospace and defence companies.

Some new hires start on $21-$23 per hour, just north of Seattle’s minimum wage of $19.97, and it takes six years to reach top pay. Older workers may be able to afford to live near Boeing’s facilities, workers say, but that is out of reach of younger hires.

“We’re building airplanes,” said Cristian Preoteasa, who was manning the line in Renton with his eight-year-old son. “A normal family working for a company like Boeing, they should be able to buy a house.”

Pensions and retirement income are critical issues to strikers. Some want to win back the defined benefit pensions they lost. Others want improved wages or funding for “401(k)” defined contribution retirement accounts. Epstein estimated reinstating the pension would cost $300mn-$400mn more a year than Boeing’s offer to fund employees’ 401(k) plans.

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District 751 last week said the company has been “adamant” in negotiations that it would not restore the old pension but, Preoteasa noted, “even if we don’t have a shot, it’s big leverage”.

SPEEA officer Ryan Rule pickets in support of IAM District 751 outside of a Boeing facility near Boeing Field during an ongoing strike in Seattle, Washington
Ryan Rule of the Society of Professional Engineering Employees in Aerospace pickets in support of the District 751 workers © David Ryder/FT

The machinists are in a position of considerable power, given Boeing’s need for cash, airlines’ demand for jets and the wider resurgence of the US labour movement. Some picketers echoed arguments made by leaders in other unionised industries such as cars and airlines about companies that have profited at workers’ expense.

At the picket line in Renton, toolmaker Demetric Jones noted Boeing’s last two chief executives, Dave Calhoun and Dennis Muilenburg, left the company with tens of millions of dollars despite their mistakes. “It’s just all corporate greed,” he said. “And that’s the reason they’re in this position now.”

Mike Sherman, a machine repair mechanic, is confident the strikers will prevail.

“If they think they’re going to wait us out,” he said, “I think they’re going to lose.”

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