DWP issues new update after calls for £300 payment for pensioners
The Department for Work and Pensions (DWP) has addressed a query about reinstating a £300 pensioner payment. It comes after a question was raised in Parliament regarding the DWP's stance on bringing back several aids, including the "pensioner cost of living payment".
In response to soaring energy bills and other expenses in 2021, the Government introduced various extra payments to assist those struggling with their bills. This included cost of living payments, approximately £300 each, issued to individuals receiving benefits or tax credits from 2022 to 2024, including recipients of Universal Credit and Pension Credit.
The pensioner cost of living payment provided an additional sum of either £150 or £300 on top of the Winter Fuel Payment during the winters of 2022 to 2023 and 2023 to 2024. Pensions minister Sir Stephen Timms replied to the query from Liberal Democrat MP Clive Jones to say: "The cost of living payments were intended to relieve the immediate financial pressures caused by the rapid rise in cost of living. There are no plans to reintroduce these payments."
READ MORE: DWP Winter Fuel Payment legal challenge update as pensioners 'not eligible'
READ MORE: Thousands of pensioners missing out on £2,915 DWP help
Although these particular means of support have concluded, assistance is still available through the Household Support Fund. This involves local councils distributing support in the form of direct payments, food vouchers, and other aid. You do not have to be claiming benefits to get the help.
For further information about this scheme, get in touch with your local council to find out the support programmes they offer. In another important change, a contentious new policy is set to grant DWP officials the authority to scrutinise individuals' bank statements in cases of suspected benefit fraud.
Investigators will have the power to request bank records to ascertain a claimant's ability to repay debts. They will also be able to directly take funds from accounts to settle outstanding amounts.
This has raised concerns among some experts who worry about the potential for innocent people to be mistakenly targeted, causing undue anxiety for those receiving benefits. Sebrina McCullough, director of external relations at Money Wellness, a debt and benefit counselling service, emphasised: "It is vital that before any agreements to recover money directly from bank accounts are made, affordability checks are completed.
"The details of a person’s account and what is on bank statements might not always be a true reflection of their financial situation." She asked the Government in the first instance to direct individuals to debt advice services, to try and set up a repayment plan instead of simply raiding their bank account for the amount.
Ms McCullough also highlighted the importance of the Government differentiating between 'intentional fraud', such as large-scale scams by criminal organisations exploiting vulnerable people, and honest mistakes by those struggling to understand the complicated system. She urged: "Any legislation must consider how to prevent fraud, as well as how to use the data available to proactively engage people who should be claiming but clearly do not know they are entitled to additional benefits. The system must be simplified and streamlined."