Responding to today’s Autumn Statement and what it means for older people in financial hardship. Joanna Elson, Chief Executive of the national charity Independent Age, said:
“Today’s announcements on the uprating of the State Pension and Local Housing Allowance will bring some relief to older people on a low income, but the much-needed and glaring omission from today’s statement is crucial cost of living support for yet another challenging winter.”
Triple Lock
“For the millions of older people living in financial hardship whose income is based on the State Pension and benefit entitlements, the Triple Lock delivering an 8.5% rise will be welcome news, as it is vital in protecting the value of their often dangerously low income. Increasing the State Pension also aids future generations, scrapping the Triple Lock would increase the amount working aged people need to save to avoid poverty when they enter retirement.
“With the constant debate surrounding the Triple Lock, older people on a low income have faced months of stress and uncertainty over their future. To give long-term assurance to people planning for retirement, there should be a cross-party review to agree on the income everyone should have in later life to avoid poverty and what the Government can do to make sure everyone receives this.”
Local Housing Allowance
“At long last, the Government has committed to unfreezing local housing allowance. For too long, renters of all ages including older people, have struggled with soaring rent prices and been forced to cut back on food and heating because housing benefit didn’t even come close to covering their rent.
“For the almost half of older renters who rely on housing benefit to keep a roof over their heads, it is essential that this is not a one-off increase. Housing benefit must be continually reviewed so it covers at least the rent of the cheapest 30% of the local private rental market.”
Cost of living
“It is shocking that no additional cost of living support has been announced today to help people on a low income, including older people, manage their bills this winter.
“With energy bills predicted to still be 85% more than before the energy crisis, and prices expected to stay high for months to come, we are far from ‘job done’ by the Government when it comes to providing adequate support for people in later life.
“As far as we know, the UK Government has done no evaluation to understand whether existing cost of living measures have done enough to meet people’s needs, and we know many are still struggling. Callers to our helpline at Independent Age tell us they are sitting in cold, dark homes because they fear unmanageable energy bills. Others have cut back to one meal a day.
“Older people facing financial hardship urgently need immediate support to get them through this winter and a long-term approach to ensure no one is forced to make dangerous sacrifices because of cost.”