Pensioner Poverty subject of new Committee inquiry

• Inquiry: Pensioner poverty – challenges and mitigations
• Oral evidence: The work of the Department for Work and Pensions
• Secretary of State for Work and Pensions' letter to the Committee
• Work and Pensions Committee

The wide-ranging inquiry will take stock of the impact of pensioner poverty and its potential mitigations, including on health, help with energy costs, and the costs that should be covered by the State Pension and other pension age benefits.

The announcement comes a week after the Secretary of State confirmed when questioned by the Committee that the second phase of the Government’s pensions review will “be looking at future outcomes, including pension adequacy”. This has left open the question of the adequacy of State Pension benefits, which often make a significant contribution to retirement income, even for those with some private pension savings.

The Government's recent analysis, published in a letter to the Committee earlier this week, shows that around 50,000 pensioners could find themselves in absolute poverty after housing costs as a consequence of the changes to Winter Fuel Payment eligibility.

Chair quote

Committee Chair Debbie Abrahams said, “The decision by the Government to restrict Winter Fuel Payment eligibility to those in receipt of some means-tested benefits, like Pension Credit, has brought the issue of pensioner poverty into sharp focus.”

“We understand the rationale as part of the effort to restore the UK’s finances, but it’s concerning that potentially tens of thousands would sink below the poverty line without other kinds of support. Just one falling into it is a tragedy. It gives just a hint of how many pensioners could be struggling, but are we doing enough for them?”

“The effects of living in poverty are also likely to hit different groups of people in different ways. How do different cohorts cope, pay for their food and heat their homes, and what are the consequences for the NHS and social care?”

“We want to hear from experts and pensioners at the sharp end to examine the situation to inform the debate around the pensions review, and make some recommendations to Government that will ensure people get the support they need.”

Terms of reference

The inquiry will examine the following questions below. If you would like to submit evidence to the inquiry, please answer one or more of the questions below and send to workpencom@parliament.uk by 23.59 on Monday 6 January 2025.

• What is the state of pensioner poverty across the UK? Which groups are most likely to be affected?   
• How does poverty impact on groups across the lifespan? 
• Are there international comparisons we could learn from? 
• To what extent does the current State Pension and other pension age benefits prevent pensioner poverty? 
• What essentials should the State Pension and other pension age benefits provide? 
• How do pensioners in poverty manage food, energy and housing costs with the income they have? 
• What impact does the cost of living have on the health of pensioners in poverty? What impact does this have on the NHS and social care? 
• What measures to offset the impact of the cost of living on pensioners are most effective? How do these vary in the devolved nations?]  
• How effective are discretionary payments such as the Household Support Fund? How can support be more effectively targeted at pensioners in poverty? 
• What is needed to improve access and take up of Pension Credit and other social security support for pensioners in poverty? 
• Are there sufficient data to enable efficient targeting of support? Are there delivery mechanisms that allow effective targeting? 

Further information

• About Parliament: Select committees
• Visiting Parliament: Watch committees

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