500,000 OAPs TO LOSE WINTER PAY

HALF a million retirees could lose their winter fuel payments in the next four years, according to bombshell analysis.

- By Martyn Brown Political Editor

Pensioners will be hit by Rachel Reeves's freeze on how much income is exempt from tax and changes to the benefit.

A former pensions minister warned it amounts to a punishing “stealth” raid by the Chancellor. Currently, OAPs with income over £35,000 will not receive the payment, worth up to £300.

And, as the state pension is expected to rise by 4.7% next April, in line with the triple lock, and other pensions are expected to go up with inflation at around 4%, it means a large number of pensioners will find their income has been pushed above this threshold.

Detailed analysis of the data by consultants Lane Clark & Peacock reveals more than 100,000 pensioners could find themselves ineligible for the payment next year.

This could soar to almost 500,000 by the end of this parliament in 2029.

Ex-pensions minister Sir Steve Webb, a partner at LCP, said: "It is hard not to see this as yet another 'stealth' tax.

"The freezing of income tax allowances and thresholds has seen millions more pensioners dragged into the tax net purely because of inflation. The freezing of the winter fuel payment threshold will make matters worse." It comes after Ms Reeves triggered widespread anger when she scrapped the winter fuel payment for up to 10 million pensioners within weeks of becoming Chancellor last year.

She was forced to backtrack after a major backlash and a successful campaign by the Daily Express.