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A new message from Miliband on welfare

Labour leader suggests he would consider freezing the winter fuel allowance.

Amid Ed Miliband's fraught exchanges with John Humphrys on the Today programme this morning there was a flash of new policy. For the first time, Miliband suggested that Labour would consider freezing (or means-testing?) the winter fuel allowance in order to reduce the £79bn deficit George Osborne will leave. He told Humphrys:

What does that mean in concrete terms? Let me give you an example. We took great pride in increasing the winter fuel allowance when we were in government: it's going to be much harder to do that should we come back to power. Of course, I hope to do it, it's going to be much harder to do it.

Miliband's leadership has been characterised by a strong defence of universal benefits (he believes, as Richard Titmuss put it, that "services for the poor will always be poor services") but there is a growing view in Labour that the winter fuel allowance, in its present form, is indefensible. A campaign urging the wealthy to donate their fuel payments to those in greatest need has raised £500,000, a reminder of how poorly targeted the payment is. Last year 65,000 expats living in Spain, Portugal, Greece and elsewhere received the benefit (set at £200 for the over-60s and £300 for the over-80s) despite their warmer climes.

It will be worth watching to see whether Miliband expands on this point in his speech to London Citizens at 11am. As last week's New Statesman leader argued, a commitment to universalism need not imply unconditional support for all universal benefits.

6 comments

Fraziel1's picture

Excellent idea. I find it truly astonishing, and it frankly beggars belief that people would not support this idea. London calling, everything you mention is utterly irrelevant. Means testing means just that. If you are on benefits or receiving tax credits due to low pay then presumably you will still get it. Only people who DO NOT NEED IT will not get it. It will presumably not be removed from the poor or households in fuel poverty.

My parents use it to pay for holidays and christmas presents, it is an appalling waste and poor targetting of public money and only the real lunatic fringe left can justify the wealthy and those living in the sun abroad receiving such a payment.

Never thought i would see the day when the left are on the side of the rich and wealthy ex pats or are we really talking about the lefts ideological refusal to countenenace any reform of the astronomically huge welfare bill no matter how logical or fair.

London Calling's picture

For Gods sake with millions losing their pension rights, hundreds of thousands their jobs and maybe their homes, the disabled and sick being attacked and part time workers their tax credits, Miliband decides to attack Fuel Allowances for pensioners because a few pensioners in Spain are getting a benefit they have paid for through their taxes but may not need because the weather is warmer.
Meanwhile the rich get richer, the health service is being privatised, council housing grinds to a halt as even more houses are sold off on the cheap and the economy goes into the pits.
And they wonder why millions have given up voting Labour and just dont bother voting any more.
Pathetic.

Briar's picture

And will he freeze, and force down, energy prices?

Trevor's picture

Since you espouse something called "responsible capitalism" (how's that for an oxymoron), what about freezing the extortionate prices being charged by the utility companies instead, Ed?

But that might mean infringing on Labour's beloved free market, so better to let thousands of pensioners continue to freeze to death each winter instead.

C Baker's picture

Here's some ideas for you Ed.

(1) Make landlords responsible for council tax, not the renters of the property. This is what they do in Australia.

This would save the government loads on council tax benefit. It's not a tax landlords could get away with.
At the same time, it wouldn't bleed them dry. Better than taxing buy to let income. A utility bill would suffice for id or a passport or water bill for the renters, to register for voting. may be more accurate too.This would stop the abuse of wealthy landlords renting to those on benefit and having the state pay the council tax on the property.

(2) Set up computer science academies. Make them the best in the world for computer technology and research. Cameron promised a silicon valley in the uk, where is it? Get computer science undergrads and post grads to design and start it up- not labour think tank gurus- who don't know which way round their free ipads go. I'm talking computer programming etc, not desk top publishing!!!

These sort of ideas.

Positive, positive positive.

Not- you can't do this, have that policies.

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