Government Sneaks Out £7000 Pension Cut For The Poorest Elderly.

Well well, running true to form, the Department for Works and Pension sneaked through devastating credit changes through Parliament during the Brexit distraction.

Last night it announced new rules for the benefits available to mixed-age couples which will come into force from the 15th May 2019.

But this change is not minor, with experts warning it could leave affected couples worse off by more than £7000 per year

Under the present system, when the older member of a mixed age couple reaches State Pension age, both partners can opt to transition from working-age benefits to pension age benefits
Way back in 2012 Parliament voted in favour of modernising the system in this way, but it has taken until now the Government to actually act on that result. In the words of the Government statement “This will ensure the younger partner is in the same circumstances as other people of the same age, regardless of the age of their partner”.

The Government confirmed that mixed-age couples with a partner under State Pension age, who are already receiving pension credit or pension-age housing benefit will be unaffected so long as their circumstances don’t change.

So here is the rub…… The big issue is likely to be over Pension Credit. This is a form of benefit paid to the least well off pensioners, and currently, it can be claimed by a household if at least one partner is over the state pension age.

It’s worth noting that in most cases the rate of Pension Credit is significantly more generous than those on offer to working-age claimants.

To put that into context, former pension minister Steve Webb, currently director of policy at Royal London - said that this change could leave affected couples more than £7000 per year worse off. Such is the difference between the rate of Pension Credit for couples and Universal Credit. Webb told the FT that this change would put further pressure on the younger member of a mixed-age couple to find work. Adding: People who may be affected deserve to know about this change and not have it sneaked out on a day when ministers were no doubt hoping that everyone’s attention was directed somewhere else”.

It's difficult to argue with Webb’s view here. The Brexit meaningful vote is understandably dominating the headlines, and so presents a pretty attractive cover if you’re looking to bury some bad news.
And make no mistake about it, slashing the annual income of some of the poorest pensioner households by £7000 a year is bad news.

Sticking this story out at 7.22 pm. In the hope that people wouldn’t notice it - including those couples who are going to be adversely affected by the change - is dreadful.

Well, there you have it. Whether one agrees that anyone under State Pension age should ever have been allowed to transfer from Working Age Credit to Pension Credit if one of them is over state pension age, is another story. But what a dirty, underhanded way of putting the rule through. Instead of warning those poorest pensioners that instead of the up to £13,000 they would be entitled to under Pension Credit, they will instead have to claim it through \Universal Credit and it will be £6,000 instead of £13,000.

What are your views on the above?. Do you think it stinks the way it has been sneaked through? or are you in full agreement with the action they have taken?

Re: Government Sneaks Out £7000 Pension Cut For The Poorest Elderly.

Yep, they certainly snuck that out!
They've already taken the pensions from WASPI women, now this!
It won't affect me as I'm single, but having had to claim UC because of my delayed pension, I feel so sorry for them.

Re: Government Sneaks Out £7000 Pension Cut For The Poorest Elderly.

It's such an underhanded way of doing it. Obviously, if the poorest couple which consists of one over state pension age and one coming up to pension age, are claiming Pension Credit, fair enough, but to now take up to £7000 from the underage partner and make them claim it as part of the Universal Credit, is unfair.

However, who the hell in the first place, dreamt up the rule that a younger partner of a state age pensioner drawing pension credit, could swap working age credit to pension credit in the first place? how on earth could it be feasible that a working age younger partner could ever claim a pension?

It's so wrong for the Government to pick on the poorest households. Equally disgusting that War Widows are not allowed to keep their war widows pensions once they remarry. It's like wiping out the memory of their loved one dying for his country because his widow has simply had to go on living her life, and remarries in time. She will always be his widow, so why should she ever lose the pension?

It really makes me feel sick when one sees these fatcat's swanning around with tax accountants ever ready to save every penny from the taxman. Seems the poor are the easiest targets to fill the coffers.

Re: Government Sneaks Out £7000 Pension Cut For The Poorest Elderly.

I was just reading about that earlier. Typical Government, get your attention elsewhere then pull a sneaky fast one.

Re: Government Sneaks Out £7000 Pension Cut For The Poorest Elderly.

Barstewards in the scumbag 'nasty party' again!!!

Re: Government Sneaks Out £7000 Pension Cut For The Poorest Elderly.

I can't deny it was sneaky but look at it this way a 45 year old marries a 70 year old, it does happen. Why should that mean they both get the pension age benefits ? and if the older person dies it can be hard to get the younger one off the benefit as it's a rare person volunteers the information if they know it means a big cut.

So while they should be much more open about it they do need to address some of these anomalies. IMO

Re: Government Sneaks Out £7000 Pension Cut For The Poorest Elderly.

Try looking at it another way Julie darlin' - what if the younger person is the full-time carer of the pensioner, we both know that Carer's allowance goes no-where near replacing lost income from other sources.

Re: Government Sneaks Out £7000 Pension Cut For The Poorest Elderly.

That's very true UJ, I had to claim it myself when the hospital/Social Workers bullied me into giving up my job to look after my Ex. I was at a very bad/low point in my life and ended up caving in like a damn fool. I didn't want to do it, and it was the beginning of the end for us, we were divorced a year later and he went into Sheltered Housing and I moved to my wee bungalow that I have down in Perth. But I went from almost £300 a week to £70. It was hell and I resented it.

Re: Government Sneaks Out £7000 Pension Cut For The Poorest Elderly.

That's true but they have to have some sort of cut off all the will we treat benefits in this way, it's why I support the idea of a universal wage so everyone gets the same whether they are working or not. Then if they do work they get their wages on top. The universal wage should be enough to live on so disabled and retired are not struggling but people who can or want to work are able to do so.

Our system only works for a few IMO and until we admit it and look at other ways we just have to accept it won't be fair for everyone.

Re: Government Sneaks Out £7000 Pension Cut For The Poorest Elderly.

I only just found out that you have to claim State Pension, I thought it was automatic.
When I had to claim UC last year no one could tell me how to claim Housing Benefit when I move from UC to State Pension this year (if they don't move the pension age again). It's a shambles and makes you feel worthless.