Martin Lewis has voiced his support for potential changes which could see more pensioners given Winter Fuel Payments.
The benefit was previously available to almost everyone in the UK who was of state pension age to help cover their heating costs. But from last winter only those on Pension Credit or means-tested benefits will get the Winter Fuel Payment - £200 or £300 for people aged over 80.
Feedback from this month's local election result, in which many canvassers reported that the controversial policy had lost Labour votes, prompted reports that the party may be considering changing the rules for this winter.
On X, the Money Saving Expert founder said: "Very pleased to just hear the Prime Minister has just said he wants more state pensioners to get Winter Fuel Payments (WFP) and they will work out what they're doing in time for the budget.
"As I've said since day one, there are two main problems with the way the means testing of WFP was done
1. The threshold is too low. Most need earn under £11,800/yr to get it. That's an extremely low income when typical energy bills are £1,800/yr
2. Using Pension Credit, a benefit that has been known to be critically underclaimed for years, as the mechanism to prove eligibility is flawed. It leads to, on govts own figures, 700,000 of the poorest and most vulnerable pensioners, people who have total income below £11,800/yr missing out."
He added: "The issue that complicates WFP means testing is it's a household not individual payment. I have suggested to the Chancellor in the past that an imperfect but speedily workable solution would be to give WFP to all pensioners who are on pension credit or in homes that are council tax bands A to C.
"Hopefully they now have time to fix this frankly unpopular mess, that came from a rush job, and come up with something that works effectively for more people for the coming winter."
Sir Keir Starmer has said the Government wants to make more pensioners eligible for winter fuel payments and he will rethink the controversial cuts to pensioners’ benefits.
He told MPs: "I recognise that people are still feeling the pressure of the cost of living crisis, including pensioners.
"As the economy improves, we want to make sure people feel those improvements in their days as their lives go forward. And that is why we want to ensure that as we go forward, more pensioners are eligible for winter fuel payment.
"As you would expect, Mr Speaker, we would only make decisions we can afford. That is why we will look at that as part of our fiscal event."
Very pleased to just hear the Prime Minister has just said he wants more state pensioners to get Winter Fuel Payments (WFP) and they will work out what they're doing in time for the budget.
— Martin Lewis (@MartinSLewis) May 21, 2025
As I've said since day one, there are two main problems with the way the means testing…
Liberal Democrats leader Sir Ed Davey pressed the Prime Minister to reverse his cuts to the winter fuel payment in full.
He told the Commons: “The Prime Minister has rightly said that his new trade deals will give a much-needed boost to economic growth and thus to the public finances. So will the Prime Minister make sure that struggling families and pensioners see the benefits of the growth?
“He teased the House with his first answer to (Labour MP Sarah Owen), so will he commit now to reversing his cuts to the winter fuel payment in full?”
The apparent U-turn on winter fuel payments was welcomed by a charity but the organisation warned of a shame and stigma among those in need.
Lucy Bannister, head of policy and influencing at Turn2us, said: “We welcome the Prime Minister’s indication that the Government plans to widen eligibility for winter fuel payment, helping more low-income pensioners to stay warm and safe this winter. We hear from people every year about the difference this support makes.
“But we remain concerned that hundreds of thousands of eligible pensioners still miss out each year due to a complex application process, lack of awareness, and stigma.
“Many feel shame for needing support, a direct result of how benefits are too often talked about by politicians and the media. The Government must urgently ensure its narrative around its wider social security reforms reduces this stigma, simplify the system, and proactively reach those being left behind.”
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The response to mooted changes has been mixed, with Gabriel McKeown, Head of Macroeconomics at The Sad Rabbit Newsletter saying: "Like a caterpillar turning into a butterfly, Keir Starmer’s political metamorphosis is in full swing, transforming from an object of hate and derision, into a would-be populist hero, representing the interests of the many, not just the few.
"This is one of many recent U-turns, spanning migration, Brexit and now social support.
"Yet this sudden about-face is hugely transparent, and comes after a disastrous performance in by-elections, and rumours swirling that his time as party leader could be on the horizon.
"For many, this U-turn is too little too late, and it wouldn’t be hugely surprising if the U-turn was U-turned once again this winter, ready to punish a few more pensioners."