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Genuine question re pensioner fuel payment cut

517 replies

Katypp · 02/08/2024 09:49

Just this: How would the Labour supporters react if three weeks into a new Conservative Government, the chancellor cut the winter fuel payment to any pensioner with an income of more than £11k?
Would you think it was a reasonable thing to do or would it be considered cruel because it was the Tories implementing it, not Labour?
I would imagine Angela Raynor, Yvette Cooper and Wes Streeting would have been very vocal and worried about it.
Would the public finances argument wash if it was a Tory Government? It didn't when Cameron came into power.
What's different?

OP posts:
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9
Iwasafool · 03/08/2024 15:52

BIossomtoes · 03/08/2024 15:49

You’re not going to be given your share of the underspend back, are you? It has zero effect on the amount of tax we pay.

It will be money the government has in it's pocket to pay off our debts or more to spend on essentials or even to go towards tax cuts.

What about this as a scenario: Shops allow a certain amount for "shrinkage" i.e.goods that get stolen. Now if your local Sainsbury's allows for 10% and only 9% gets stolen is it OK if you go in and help yourself to the other 1%? I mean Sainsbury's aren't losing anything by your logic as it was in their budget to lose 10%.

BIossomtoes · 03/08/2024 15:49

Iwasafool · 03/08/2024 15:42

Of course it is a cost to the tax payer, who do you think is providing the money for benefits. Just because it is within budget doesn't mean it is cost free.

You’re not going to be given your share of the underspend back, are you? It has zero effect on the amount of tax we pay.

Iwasafool · 03/08/2024 15:48

BIossomtoes · 03/08/2024 10:16

We’re not paying for it. The amount of unclaimed benefits exceeds those claimed fraudulently by quite a large margin. Pension credits aren’t being claimed by around 800k people who are entitled to them.

I do think this is bizarre. What do you think happens to the unclaimed money if fraudsters don't get it? a. It gets ripped up or b. It goes back into the government coffers?

Iwasafool · 03/08/2024 15:47

SnobblyBobbly · 03/08/2024 00:10

Mmmm well I agree it should be means tested.

Same Re: Bus Passes, I think they should be kept, but no pass for those who still drive. My MIL couldn't wait to get her bus pass even though she has a brand new car and hardly ever gets the bus.

Any 'blanket' pay outs need looking at because the money needs to come from somewhere.

All I heard about Labour from the older people I work with was how they just spend money we haven't got, so now they're finding it.

I don't know the answer to this and you might not either but perhaps someone will. Do bus passes cost anything (other than printing them) if they aren't used?

Iwasafool · 03/08/2024 15:45

Miley1967 · 03/08/2024 10:32

Management will not allow us to report fraud, only to explain to the client that giving false information is fraudulent, and if for example we find out that someone is commiting benefit fraud eg they have undeclared savings or have someone living with them and are claiming as single then we just have to inform them in writing that it is advisable to come clean !! Some are unwittingly doing things and then it has kind of gone on too long for them to put it right and we offer to support them to ring DWP. I am not scared of losing my job because at times it becomes difficult to go on like this. I am by no means saying this is an everyday occurrence, the vast majority are genuine people who need help.

Do you think as a citizen you have a duty to either report the fraud or whistle blow on your organisation?

Iwasafool · 03/08/2024 15:42

BIossomtoes · 03/08/2024 14:01

The benefits budget is underspent by virtue of unclaimed entitlements. Ergo money that’s been allocated hasn’t been used and there is no cost to the taxpayer. It’s not rocket science.

Of course it is a cost to the tax payer, who do you think is providing the money for benefits. Just because it is within budget doesn't mean it is cost free.

taxguru · 03/08/2024 14:20

ruby1957 · 03/08/2024 13:07

How do the powers that be in the DWP and HMRC know this. How do they know that 800k people should be on pension credit when i suspect they do not know all the details of their situation.
If they are so sure these people are out there - automatically invite them by putting them automatically on the pension credit tariff. I suspect that this figure is at best an estimate,
I must admit I was heartened by someone's suggestion elsewhere that every pensioner should apply for PC just on the off-chance that they are eligible. Not with false figures of course but just to highlight whether that figure is correct or not.

Edited

It's all based on estimates. Govt doesn't know the financial affairs of everyone. Lots of data won't be known, either to HMRC, such as interest/dividends on tax free ISA accounts or in fact dividends from any investments as dividends are not automatically notified to HMRC by companies! They can't possibly check everyone's affairs and work out total income, etc., even though a lot of data is actually already held within HMRC, i.e. pensions, wages, bank interest, etc. hence why they demand that several million people fill in annual self assessment tax returns. We're years/decades away from automating it all and having some "super" computer that puts it all together. So the "gap" between claimants and theoretical claimants is basically an educated guess!

taxguru · 03/08/2024 14:16

BIossomtoes · 03/08/2024 14:01

The benefits budget is underspent by virtue of unclaimed entitlements. Ergo money that’s been allocated hasn’t been used and there is no cost to the taxpayer. It’s not rocket science.

No, the benefits budget assumes a certain level of people not claiming, just as the tax income budget assumes a certain level of tax evasion. The "budget" figures are their best estimates of actual income and expenditure. There is no "pot of money" sat there waiting for someone to claim it. If more people claimed, then the debt/borrowing would increase to pay for it. Just as if more people paid the "right" amount of tax, the debt/borrowing would reduce.

BIossomtoes · 03/08/2024 14:01

2dogsandabudgie · 03/08/2024 13:46

Well who is paying for it then, because the money for fraudulent claims has to come from somewhere. Labour's magic money tree!

The benefits budget is underspent by virtue of unclaimed entitlements. Ergo money that’s been allocated hasn’t been used and there is no cost to the taxpayer. It’s not rocket science.

2dogsandabudgie · 03/08/2024 13:46

BIossomtoes · 03/08/2024 10:16

We’re not paying for it. The amount of unclaimed benefits exceeds those claimed fraudulently by quite a large margin. Pension credits aren’t being claimed by around 800k people who are entitled to them.

Well who is paying for it then, because the money for fraudulent claims has to come from somewhere. Labour's magic money tree!

Katypp · 03/08/2024 13:43

2dogsandabudgie · 03/08/2024 12:35

The Tories were vilified on here for the last 14 years, or is government bashing ok as long as it's not Labour?

They've only been in a month and already they have targeted a vulnerable group.

Government bashing is absolutely fine as long as it is not Labour. Labour are much more caring than the Tories, so all the followers prior to the election can be confident that their much-talked-about moral compasses are still pointing the right way because RR had no choice, apparently.
Of course, when the Tories had to clean up after the last Labour goverment, they were cruel and evil but whevs.
As I have said upthread, any Labour supporter who genuinely thinks that neither they or Labour MPs would be shouting from the rooftops about this new policy had it been introduced by the Tories are seriously deluded.
I also h note that professional worrier Yvette Cooper has been much quieter about the riots than she would have been if she was still a shadow minister. Obviously it's a lot easier to criticise what the other lot are doing than actually come up with solutions yourself.
Still, at least the grown-ups are in charge.

OP posts:
ruby1957 · 03/08/2024 13:07

BIossomtoes · 03/08/2024 10:16

We’re not paying for it. The amount of unclaimed benefits exceeds those claimed fraudulently by quite a large margin. Pension credits aren’t being claimed by around 800k people who are entitled to them.

How do the powers that be in the DWP and HMRC know this. How do they know that 800k people should be on pension credit when i suspect they do not know all the details of their situation.
If they are so sure these people are out there - automatically invite them by putting them automatically on the pension credit tariff. I suspect that this figure is at best an estimate,
I must admit I was heartened by someone's suggestion elsewhere that every pensioner should apply for PC just on the off-chance that they are eligible. Not with false figures of course but just to highlight whether that figure is correct or not.

2dogsandabudgie · 03/08/2024 12:35

HappydaysArehere · 03/08/2024 10:37

Also doctors and staff in hospitals. This government bashing is ill thought out. No matter what they do to sort the economic mess this country is in the Telegraph, Mail, etc etc etc will be digging for headlines that destroy any hope we need to have in any new initiatives. They also manufacture fears that then become realities in the eyes of those who are only too willing to believe them.

The Tories were vilified on here for the last 14 years, or is government bashing ok as long as it's not Labour?

They've only been in a month and already they have targeted a vulnerable group.

BIossomtoes · 03/08/2024 12:31

2dogsandabudgie · 03/08/2024 12:28

So you're saying it's ok for people to commit fraud because it's balanced out by those who don't make claims when they could? What a bizarre way to think.

If people didn't commit fraud there would be even more money for those who genuinely needed it.

I’m not saying that at all. It most definitely would be a bizarre way to think. I was pointing out that there’s zero cost to the taxpayer. If people didn’t commit fraud non fraudulent claimants wouldn’t get more money, they’re not getting more because lots of people who are entitled don’t claim, are they?

2dogsandabudgie · 03/08/2024 12:28

BIossomtoes · 03/08/2024 10:16

We’re not paying for it. The amount of unclaimed benefits exceeds those claimed fraudulently by quite a large margin. Pension credits aren’t being claimed by around 800k people who are entitled to them.

So you're saying it's ok for people to commit fraud because it's balanced out by those who don't make claims when they could? What a bizarre way to think.

If people didn't commit fraud there would be even more money for those who genuinely needed it.

HappydaysArehere · 03/08/2024 10:37

Icepearl · 02/08/2024 10:32

I think I would have been delighted with this cut, whoever thought of it. We need to find sustainable cuts that don't cause hardship, to fund areas where lack of money is causing massive, long term issues.

We need money in schools. Not funding schools properly has lead to a generation of children who were not given a chance to reach their potential - that is going to cost the country billions for decades as these people go through adulthood and need more support than they should have done

Also doctors and staff in hospitals. This government bashing is ill thought out. No matter what they do to sort the economic mess this country is in the Telegraph, Mail, etc etc etc will be digging for headlines that destroy any hope we need to have in any new initiatives. They also manufacture fears that then become realities in the eyes of those who are only too willing to believe them.

Miley1967 · 03/08/2024 10:32

Tiredalwaystired · 03/08/2024 09:53

Please can you explain what you mean when you say you’re not allowed to report fraud? Is this a management decision? Are your management crooked? Is it not so much that you’re not allowed but that you’re scared of losing your job if you call it out? Because if it’s investigated you currently stand the risk of being prosecuted as complicit.

If illegal proceedings are going on at your employer they need to be investigated.

Management will not allow us to report fraud, only to explain to the client that giving false information is fraudulent, and if for example we find out that someone is commiting benefit fraud eg they have undeclared savings or have someone living with them and are claiming as single then we just have to inform them in writing that it is advisable to come clean !! Some are unwittingly doing things and then it has kind of gone on too long for them to put it right and we offer to support them to ring DWP. I am not scared of losing my job because at times it becomes difficult to go on like this. I am by no means saying this is an everyday occurrence, the vast majority are genuine people who need help.

BIossomtoes · 03/08/2024 10:16

Iwasafool · 03/08/2024 09:58

Couldn't agree more. Ignoring fraud that we are all paying for is disgraceful and I'm not sure if it is illegal, sounds like whatever organisation this is it is conspiring to defraud the tax payer.

We’re not paying for it. The amount of unclaimed benefits exceeds those claimed fraudulently by quite a large margin. Pension credits aren’t being claimed by around 800k people who are entitled to them.

Lilysgoneshopping · 03/08/2024 10:12

taxguru · 02/08/2024 16:03

It'd be nice if the people who benefitted from furlough and grants who didn't need it would repay it so that it could be redistributed to some of the 3 million excluded who did need it!

The company I worked for (takeaway food establishment) was closed down and the staff furloughed. No need for sneery comments about sunbathing while others worked. We had no choice. I would rather have worked. My employer paid back all of the furlough money back to the governmet

ruby1957 · 03/08/2024 10:06

Again some of the posters are missing the point,

The WFA is ONLY £200 (£300 if over 80) once a year,
It is only payable per household

So guess who are the biggest losers of this petty move by labour -
Women pensioners mostly who live on their own and have all the household costs, one pension and one personal allowance
Older pensioners who are on the much lower basic state pension and paid into a small private pension that takes them above the pension credit level. Many of these pensioners are in their 80s and 90s - they deserve better
Many of them are susceptable to the cold and are mostly at home during the day and night

The evilness of the labour chancelor is made worse by announcing this now when those pensioners who rely on this for the winter months have little time to make up the shortfall

I think those on here saying well pensioners are boomers which = rich - should really think through whether that is actually true.

Iwasafool · 03/08/2024 09:58

Tiredalwaystired · 03/08/2024 09:53

Please can you explain what you mean when you say you’re not allowed to report fraud? Is this a management decision? Are your management crooked? Is it not so much that you’re not allowed but that you’re scared of losing your job if you call it out? Because if it’s investigated you currently stand the risk of being prosecuted as complicit.

If illegal proceedings are going on at your employer they need to be investigated.

Couldn't agree more. Ignoring fraud that we are all paying for is disgraceful and I'm not sure if it is illegal, sounds like whatever organisation this is it is conspiring to defraud the tax payer.

Tiredalwaystired · 03/08/2024 09:53

Miley1967 · 02/08/2024 21:30

We aren't allowed to report fraud unfortunately. People are allowed to say anything for their answers. I appreciate what you're saying but it doesn't stop me being amazed at the number of people being awarded higher rate. This is just my experience. PIP can be up to £700 ish a month and then extra pension credit on top if they live alone, obviously that depends on overall financial situation and obviously not everyone gets enhanced rates but can continue to get both components into Pension age wheras Attendance allowance has no mobility component.

Edited

Please can you explain what you mean when you say you’re not allowed to report fraud? Is this a management decision? Are your management crooked? Is it not so much that you’re not allowed but that you’re scared of losing your job if you call it out? Because if it’s investigated you currently stand the risk of being prosecuted as complicit.

If illegal proceedings are going on at your employer they need to be investigated.

Iwasafool · 03/08/2024 09:51

2dogsandabudgie · 03/08/2024 09:36

They already have the information, they don't need to set up a new system. Pensioners still pay tax so they can use that to see who would qualify.

If your mum is on PIP she will be getting that as she has a disability. So of course that will entitle her to other benefits.

I wondered about the tax angle, I'm sure there must be a simple way of sorting that out. I mean they have all sorts of categories, you can give some of your tax allowance to a partner, blind persons allowance, you can have allowances for WFH, people who split their code over two jobs. It can't be rocket science to work out something for WFA based on taxable income and age, I'm assuming for younger people eligibility would continue as it is.

QueenOfTheNihilist · 03/08/2024 09:47

brrrrrrrrrrrrrrrrrrrrrrrrrrrrr · 03/08/2024 09:26

Every penny of profit the fossil fuel companies make is a nail in that persons coffin. It’s not the abstract blanket subsidies issued by the previous government. They are killed by capitalism.

This is the the root of the issue, yes.

In Norway their oil and gas profits go straight to the public purse.

Better public services for all, cheap fuel for all.

Citizens in a more cohesive society , not scrapping over who gets £200 a year to pay their bills and shrugging smugly when some pensioners die of cold.

Anonym00se · 03/08/2024 09:44

2dogsandabudgie · 03/08/2024 09:36

They already have the information, they don't need to set up a new system. Pensioners still pay tax so they can use that to see who would qualify.

If your mum is on PIP she will be getting that as she has a disability. So of course that will entitle her to other benefits.

Of course, I was just making the point that she’s far from skint, but still gets the WFA whereas pensioners on a basic state pension will be receiving a lot less than her, and they won’t get it.