British Gas boss urges older customers to take up pension credit after Labour slashed winter fuel payments for the elderly_Nhy
British Gas is urging its older customers to go on pension credit, after Labour cut winter fuel payments.
The company has said it was its ‘responsibility’ to provide support to its customers on top of government help, which is estimated to reach 10 million fewer people this year as a result of the cut by Chancellor Rachel Reeves.
The energy provider will be writing to about two million people of pension age and above, in order to encourage them to take up the benefit should they be eligible.
It will also be reopening an annual winter scheme which provides financial help for customers, with about £40 million more going towards support such as matching debt repayments and support grants.
British Gas also increased the maximum grant it will be giving, from £1,500 to £2,000.
Under plans announced by Chancellor Rachel Reeves [right] in July, winter fuel payments will be restricted to those receiving pension credit
British Gas will also reopen an annual winter scheme providing financial help for customers
The announcement comes as similar commitments from other suppliers.
British Gas is the UK’s second-largest power firm by customer numbers.
Under plans announced by Chancellor Rachel Reeves in July, winter fuel payments will be restricted to those receiving pension credit.
This means that the benefit will be taken away from all but the poorest pensioners in the country.
Chris O’Shea, chief executive of British Gas’ parent firm Centrica, said that while some cost-of-living pressures had eased for many households, the crisis is ‘far from over’.
He said: ‘At the end of each week or month there will be those that have little, if any, money left after paying for life’s essentials.
‘We are committed to ensuring that all pensioners are fully informed about their eligibility for pension credit, which can make a significant difference in their financial wellbeing.’
The announcement follows similar commitments from other suppliers. British Gas is the UK’s second-largest power firm by customer numbers
Previsouly, around 11.5 million people would be paid, but this is set to fall to fewer than two million this year – saving the Teasury about £1.4 billion a year.
The Government says it is right to means test the benefit, worth up to £300, in order to tackle what it calls a ‘black hole’ in the public finances, but it has also prompted anger from campaigners.
In August, Labour’s energy consumers minister Miatta Fahnbulleh held talks with suppliers including British Gas, asking for help alerting customers to bills support.
Minister for pensions, Emma Reynolds, said: ‘Pension credit is a vital benefit. Not only is it worth £3,900 a year on average, but it also acts as a gateway to other benefits.
‘This means even just one pound could passport pensioners to extra help including help with council tax, housing benefit and the winter fuel payment.
‘I support British Gas’ campaign to ensure all those who could be eligible are getting this help and urge all pensioners, and their friends and family, to check to see if they or their loved ones could be getting additional support via our online calculator.’