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Saturday, 28 June 2025
Politics

Labour hopes to put winter fuel misstep behind them

Labour hopes to put winter fuel misstep behind them

The final work in this slow U-turn is played out.

The arc of this line lasts for about a year. In late July last year, when I was one of a group of journalists called in Treasury to question the then new Chancellor about my out-off-the-blue policy to get winter fuel payments from millions of pensioners.

Rhel Rives limited payment to those pensioners for the benefit of pension credit or other means-saving up to 1.5 million-£ 1.5BN in one year.

Ever since the labor MPs have grown, they have been taking heat for this.

The issue sat like a giant todent on all summer political news agenda, with complaints by hundreds of newly elected labor MPs.

And it never really went.

In the local elections in England and last month in the Parliamentary by-election in Runcorn in Cheshire, it came to the door again and again.

Then we got a U turn, in three parts.

Two and a half weeks ago, the Prime Minister said that the threshold would move forward.

Last week, the Chancellor said that new recipients will meet it in the coming winter.

Now we know who will be qualified and who will have to pay it back.

Some thoughts: Could the government do this for the first time?

Some say privately: absolutely.

Others say that the Treasury had really real concern about the status of books and felt forced to do something to reduce the so -called at the cost of the year.

Second thing: Once they decided to move, they left very quickly, although one week after another announced a U-turn in the recurred stages.

We are not waiting for the budget in the autumn till the review of the expenditure on Wednesday – here we have this, the new threshold.

So, how will the government pay for this? This is estimated to cost a cost of £ 1.25bn.

The ministers say that the loan will not have a “permanent” increase.

So how much has to be borrowed, and how long? And which other budgets can be squeezed as a result?

Or which taxes may have to get up?

For many people within labor, this entire defeat was the biggest wrong in the office in the first year of the party.

They will now expect to put it behind.

But this is one of the things that are always likely to remain in the biography of this government – with the questions asked by Rhel Reeves about it.

Meditation now turns into a review of spending on Wednesday – where Labor Folk will expect that there are no other hostages for luck that causes them so much grief as it is.

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