Scotland scraps universal winter fuel payments for pensioners

Annual winter fuel payments are between £100 and £300

PA media heating — Annual winter fuel payments are between £100 and £300

The Scottish Government will no longer pay winter fuel allowances to all pensioners, it has confirmed.

This benefit will now be subject to a means test, while the introduction of a replacement Scottish benefit has been delayed.

Scottish Social Justice Secretary Shirley-Anne Somerville said ministers had “no choice” after the UK government Budget cuts announced south of the border.

The move comes as the Scottish Chancellor of the Exchequer has clamped down on spending to fund public sector pay deals.

Shona Robison has written to her cabinet colleagues urging them to introduce stricter rules on discretionary spending.

Chancellor Rachel Reeves announced last month that people not receiving Pension Credit or other means-tested benefits in England and Wales would no longer receive annual winter fuel payments worth between £100 and £300.

Ms Somerville said the UK government’s decision led to a £160m cut in Scottish funding and they had “no choice” but to follow Westminster.

She added that the Scottish Government was in “the most difficult financial situation since devolution”.

Finance Secretary Shona Robison has introduced tougher spending rules

Getty Images Shona Robison — Finance Secretary Shona Robison has introduced tougher spending rules

The Scottish Government spending measures introduced by Ms Robison mean departmental plans will be subject to greater scrutiny and, in some cases, may need to be approved by the First Minister.

Some projects that were due to start but have not yet started could also be scrapped – with details to be announced to the Scottish Parliament.

The development came as Gers figures revealed Scotland’s public spending deficit has increased by £3.6 billion to £22.7 billion in 2023-24 due to falling oil and gas revenues.

Ms Robison appears concerned about the impact of a Financial audit announced by Chancellor Rachel Reeves.

The Scottish Government does not know how much money it will have for the current financial year until the Treasury provides more details.

SNP ministers recently provided additional funds First Minister John Swinney said funding the new package would involve difficult choices for the government.

It comes as NHS staff in Scotland are expected to push for a pay rise in line with increases south of the border.