Prime Minister Sir Keir Starmer and Chancellor Rachel Reeves have axed winter fuel payments for millions of people (Image: Getty)

Labour faced fresh demands to U-turn on winter fuel payment cuts after criticism from a committee that scrutinises the Government’s welfare policies.

In a letter to Work and Pensions Secretary Liz Kendall on Thursday, the Social Security Advisory Committee (SSAC) condemned the decision not to carry out a full impact assessment into the plan to restrict the allowance to only OAPs on pension credit.

The committee raised fears over whether new pension credit claims would be processed in time this winter.

It also questioned whether the controversial measure would make the savings the Government has set out.

Shadow Work and Pensions Secretary Mel Stride said: “The Government’s own advisory body has stated that winter fuel payment legislation is not fit for purpose.

“It confirms that leaving almost 10million pensioners out in the cold to pay for union pay rises will have a huge impact on pensioners already in poverty.

“Many will face the dreadful choice between heating and eating caused by this Labour Government.

“Labour have 13 days to reverse this policy before the Budget. Now is the time for them to follow their own advice and unpick this cruel policy.”

The SSAC called for two urgent amendments to the regulations, including giving those on the full rate of pensioner housing benefit the winter fuel payment this year.

The second is protection for older people in receipt of child tax credit who may be at risk of being financially disadvantaged if they move onto pension credit.

Mr Stride said the committee had “delivered a damning verdict” on the policy.

The senior Tory added: “They have condemned the decision not to carry out a full impact assessment and called for one to be conducted urgently.

“The committee say this should look in particular at the impact on those already in poverty.

“They also express concern that the extra staff being brought in to process pension credit claims will need months of training, meaning pensioners may not get paid in time for winter.

“All of this confirms what the Conservatives and many worried pensioners have been saying all along – these plans are ill-conceived, rushed and completely unjustified.

Chancellor Rachel Reeves sparked a backlash in July when she announced plans to axe previously universal winter fuel payments for millions of OAPs.

The Government has blamed the move on a £22billion black hole in the public finances left by the Tories, which the Conservatives have denied.

The change is expected to reduce the number of pensioners in receipt of the up to £300 allowance by 10million, from 11.4million to 1.5million, and save £1.4billion this year.

A Government spokesperson said: “We are committed to supporting pensioners – with millions set to see their state pension rise by up to £1,700 this parliament through our commitment to the triple lock.

“Over a million pensioners will still receive the winter fuel payment, and our drive to boost pension credit take up has already seen a 152% increase in claims. Many others will also benefit from the £150 warm home discount to help with energy bills over winter while our extension of the household support fund will help with the cost of food, heating and bills.

“In the longer term we will bring together the administration of pension credit and housing benefit as soon as operationally possible, so that pensioner households receiving housing benefit also receive any pension credit to which they are entitled.”