Thousands of Pensioners Face Winter Fuel Payment Delays by Year-End

According to analysis conducted by BBC Verify, it is improbable that tens of thousands of elderly individuals will obtain their Winter Fuel Payments prior to the year’s conclusion, due to the Department for Work and Pensions (DWP) contending with an expanding accumulation of fresh Pension Credit applications. A significant increase in Pension Credit applications has occurred since Chancellor Rachel Reeves declared in July that this year’s Winter Fuel Payments would primarily be restricted to individuals who are recipients of Pension Credit. The most recent official data indicates a backlog of 90,000 unhandled claims by mid-November, with approximately 9,000 claims being processed weekly. Given the probable continuation of a comparable volume of new weekly applications since that time, there is a possibility that a backlog of tens of thousands will persist until the close of the year. The DWP stated that it had assigned 500 extra personnel to accelerate the processing pace. Gary Jameson, residing in Oxford, submitted his Pension Credit application in early September, considerably before his 66th birthday, aiming to avoid financial disadvantage upon the cessation of his disability benefits. However, his birthday has passed, and he remains without a decision. He informed BBC Verify, “I’m having to transfer money from my own private savings, which are not very much anyway.” He was initially advised that his claim would take six to 10 weeks to process, but he further commented, “but I think with all the delays it will probably be months.” Members of Parliament are initiating an investigation on 18 December to examine the impact of modifications to the Winter Fuel Payment on poverty among pensioners. Prior to the chancellor’s declaration on 29 July, the typical weekly volume of Pension Credit applications in the UK, a benefit designed to supplement a pensioner’s income, stood at 3,800. Since August, this figure has averaged approximately 9,400, subsequent to promotional efforts by both the government and charitable organizations urging individuals to apply. Data released by the DWP indicates approximately 150,000 new Pension Credit applications were submitted in the UK from 29 July to 17 November. Nevertheless, Pensions Minister Emma Reynolds informed Parliament on 4 December that the cumulative count of unaddressed Pension Credit applications at the close of the week beginning 18th November totaled 91,075. It is not the case that all applications, once processed, are granted Pension Credit; approximately 45% of claims processed since 29 July have received approval. BBC Verify received an account from Simon Livingston in Brighton, who stated he had submitted a Pension Credit application for his mother in March and was still awaiting a determination. Furthermore, Jackie Newberry from Hook, Hampshire, applied for Pension Credit on behalf of her 95-year-old mother, Ena, in February and was informed a decision would be made by mid-March. Following multiple inquiries, she was eventually notified in early December that her claim had been approved. DWP figures reveal that during the week of 18 November, the typical processing duration for a Pension Credit application reached 65 working days, equivalent to 13 weeks, an increase from 9 weeks recorded at the close of July. This average processing period, assuming no acceleration, implies that eligible individuals who applied in November or December would probably not obtain their £200 to £300 Winter Fuel Payment—along with any backdated Pension Credit payment—until February or March 2025. Steve Webb, a former pensions minister and currently a partner at pension consultants LCP, commented: “Although they will eventually receive arrears once Pension Credit comes into payment, including any Winter Fuel Payment to which they would have been entitled, most who were on the waiting list by mid November are likely to have to manage through Christmas and the New Year on a very modest income until their claim is processed”. A spokesperson for the government stated: “Over a 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.” They added, “We have deployed additional staff to support processing applications, seeing a 51% increase in the number of cleared claims since the Chancellor’s announcement.” The Scottish government has declared that commencing in late 2025, every pensioner household in Scotland will be issued a winter fuel payment. The precise number of individuals in the UK facing delayed payments this year remains unclear, as it is contingent upon the pace at which DWP personnel address the existing backlog. DWP data does, however, indicate a notable acceleration in the speed at which claims are being handled. In August, approximately 4,500 claims were processed weekly. By the first half of November, this average had risen to around 9,000. Nevertheless, the official statistics concerning the backlog extend only to mid-November. It is probable that tens of thousands of additional applications have been submitted since that time. BBC Verify requested the most current figures from the DWP regarding the backlog’s size and the typical processing duration, but they directed us to the statistics published from mid-November. The government has established 21 December as the final date for eligible individuals to apply for Pension Credit and still qualify for the 2024-25 Winter Fuel Payment. In 2022, the DWP estimated that merely 63% of those entitled to Pension Credit had claimed it. Following the July announcement of means-testing for the Winter Fuel Payment, the government projected its awareness initiative would elevate the uptake rate to 68%, representing an extra 100,000 individuals. Despite this, approximately 780,000 eligible pensioners would still not be receiving either the Pension Credit or Winter Fuel Payment they are due, simply because they have not submitted an application. Further reporting was contributed by Sarah Glatte, Kris Bramwell, and Daniel Wainwright. What subjects would you like BBC Verify to investigate? Subscribe to our Politics Essential newsletter for leading political analysis, insights from across the UK, and updates on significant events. It will be sent directly to your inbox each weekday. Copyright 2024 BBC. All rights reserved. The BBC bears no responsibility for the content found on external websites. Information regarding our policy on external linking is available.