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By Gareth Hargreaves
In the news
13 March 2008 11:51
The budget was as dull as ditchwater; increased Winter Fuel Allowance for pensioners counterbalanced a punishing list of price hikes for smokers and drinkers. However, are the extra benefits enough?
The over 60s, for example, will receive a substantial increase in their Winter Fuel Allowance, up from £200 to £250, while people aged 80 and over will benefit from an additional £300 to £400.
That may seem like a generous increase, but Age Concern, the UK-based charity that promotes the interests of older people, wanted benefit for over-60s increased by a further £50 to £300 in line with the higher charges of energy companies.
Gordon Lishman, Director General of Age Concern, said:“An increase to the Winter Fuel Payment this year is a spoonful of sugar to make the bad medicine Budget go down for pensioners. Although this announcement is welcome many older people will feel it is nowhere near enough to address the cocktail of price hikes they have had to swallow this year.”
Energy BillsWhile increases to the Winter Fuel Payment this year are good news in the short-term, Lishman points to the need of a "long-term solution for the estimated 2.25 million older people in fuel poverty".
“Energy industry profits and the extra VAT revenue the government receives could have been re-directed into providing targeted support for the poorest pensioners and other groups hit hardest by the hikes. We wanted to see the £200 Winter Fuel Payment raised to at least £300 and significant investment made in energy efficiency schemes, in particular increasing the maximum Warm Front grant available. Through the Energy Bill the government should also make it compulsory for energy companies to offer meaningful social tariffs to vulnerable groups.”
The coming years present the Chancellor with a serious challenge as more and more Britons reach retirement age. The increased strain on health and social care services could mean it's a case of boomers and bust for the Treasury.
Do you think the Chancellor is doing enough for older people? Add your comments below or visit the forums to have your say.
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JanetH says
RE: Winter Fuel Allowance
If the fuel charges are going up by 40% as predicted, the extra fuel allowance won't be worth much. Pensioners are already struggling to pay utility bills without this extra burden and I feel many will die of hypothermias during the winter, especially if it is really cold. I feel a lot of people will not be able to turn their central heating on throughout the house - it willbe a case of keeping one room warm enough to live in.
19 June 2008 20:47
memo says
I forgot to say in my previous comment, that I'm sick and tired of the government moaning about the strain of all the baby boomers reaching retirement age. Government didnot complain about receiving too much tax when we were all working, so they knew well in advance that one day we would retire and should have made provision for this, not complain now as a problem that has just appeared! What are we supposed to do - feel guilty? Or maybe they thought we would all be dead through overwork!
19 June 2008 12:34
As these price increases are worldwide, this increase is better than nothing. We all will have to be more careful where we spend our money.
19 June 2008 12:25
HenryFarber says
I do not have faith in this chancellor. I do not think he has the character or authority that Brown had when he was in the post. The economy is on the downturn and the next 18 months will show that Alastair Darling, although a skilled politician, is the wrong man to be holding the purse strings. On paper the rises to the winter fuel allowance look good, but you have to remember we have had a series of mild winters. Lord knows what would happen if we experienced a cold one like 1963/64? with the costs we now pay for fuel.
13 March 2008 15:50
