Britons are calling on the Labour to stop “means-testing” Department for Work and Pensions (DWP) benefits for older people and “increase” the state pension to combat the cost of living crisis.
Michael Thompson has launched an official petition in the hope requests from pensioners will be debated by MPs in Parliament. Currently, the petition has more than 5,800 signatures and needs 10,000 to illicit a response from the Government. If it reaches 100,000, the proposal will debated in Parliament.
On the petition page, Howard said: “We demand the Government stop means-testing pensioners, that we think is a degrading and humiliating practice. We also think the state pension should be increased.
“We believe that for too long, our elderly have been portrayed by media as merely burdens on the NHS and the modern welfare state. We think that the elderly should be entitled to a decent pension and a comfortable lifestyle as many will have already paid into the system for longer than the rest of the population by now.
“We believe any Government should have a responsibility toward our nation’s elderly people. In the Victorian era, retirement was often only an option for those who had accrued wealth. Are we regressing back to those Dickensian times? We believe means testing is an abhorrent practice that is demeaning and intrusive.”
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Pensioners are angry over the Government’s decision to means-test pension benefits GETTY Analysts from RTS Financial Planning previously broke down what means-testing the state pension, which is provided to every Briton once they reach of age, would look like.
It explained: “If the UK Government were to introduce means testing for the state pension, it would fundamentally change how the benefit is distributed, potentially limiting access for wealthier retirees while focusing support on those with lower incomes.”
As it stands, every worker needs 35 years of National Insurance (NI) contributions under their belt to access the full amount.
“Means testing would involve assessing a person’s income, assets, or both, to determine whether they qualify for the state pension or how much they should receive,” RTS Financial Planning added.
“This approach could save the Government billions by targeting pension payments more directly to those who need them most, but it would also be a significant departure from the current system where everyone who has made sufficient NI contributions qualifies.”
Means-testing the state pension could pose huge risks to the retirement crisisGETTYState pension payment rates will rise by 4.1 per cent in April with some pensioners receiving a boost of up to £475. This is thanks to the triple lock, which guarantees payments go up by either inflation, average wages or 2.5 per cent; whichever is highest.
With the consumer price falling to 1.7 per cent, while wages jumped by 4.1 per cent, state pension payment rates are set to increase by the latter amount. Claimants on the full amount worth £230.30 weekly, the equivalent of £12,016.75 a year, with basis pension recipients getting £176.45 a week or £902.95 on the full amount.
Labour has received criticism in recent months for its decision to effectively axe Winter Fuel payments for around 10 million pensioners. In July 2024, Chancellor Rachel Reeves confirmed the up to £300 in energy bill support would be means-tested.
As a result, pensioners will now need to be in receipt of means-tested support from the DWP, including Pension Credit, to access the allowance. Campaigners have critisied the Government’s policy decision.
Based on research conducted by the Centre for Ageing Better, 2.5 million pensioners who lost their Winter Fuel Payments are on an income below the standard required for a dignified standard of living.
Some 25 per cent people aged 65 and over are considered too wealthy for energy bill assistance, while at the same time being too poor to live a dignified life by the Minimum Income Standard (MIS).
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Pensioners are worried about the cost of living
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Holly Holder, the deputy director for Homes at the Centre for Ageing Better, said “The pensioners identified in our research were already living on inadequate incomes before their WinterFuelPayments were taken from them.
“The majority of these people will not be able to afford to heat their homes to a safe level this Christmas or for the rest of the winter. Their health will likely suffer as a consequence.
“While we accept there is a case to be made for removing this universal right from pensioners who don’t need a WinterFuelPayment, this new research shows that the government is also removing support from people who desperately need it. We fear what will happen to them now it is no longer available.”
A Government spokesperson said: “Over one million pensioners will still receive the winter fuel payment, and our drive to boost Pension Credit take-up has seen applications more than double with over 40,000 more pensioners now receiving it, as well as the Winter Fuel Payment.”
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