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State pensioners losing Winter Fuel cash can keep warm with £90 heating change | Personal Finance | Finance

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State pensioners who are losing out on a Winter Fuel Payment this year can keep warm and get £90 back with a simple heating change.

A Labour rule change means an estimated 780,000 pensioners in England and Wales will lose their winter fuel allowance for 2024/25, which is worth up to £300.

The government changed the eligibility criteria meaning households will only be eligible for the fuel payment if they receive Pension Credit or certain means-tested benefits.

But households missing out on the £300 cash boost this winter can cut their energy costs in other ways and still stay warm over the cold months.

The Energy Saving Trust says turning your thermostat down by just one degree will save households £90 a year on heating costs.

The World Health Organisation, NHS and UK Health Security Agency recommend heating your home to at least 18C during winter to stay healthy and protect against the cold, but the elderly may benefit from a slightly higher temperature than this.

Even if your thermostat is normally set higher at around 22C or 21C, reducing this by one degree will make a big difference to your heating costs, but won’t impact the warmth of your home that much.

You can also keep your house warm with a few measures that are entirely free, including drawing your curtains and blinds when it starts to get dark, keeping bedroom windows closed at night, and wearing several layers of thinner clothing to stay toasty.

The money-saving advice comes ahead of a looming hike to household energy bills in January, when the average bill will increase by 1.2 %.

Energy regulator Ofgem confirmed yet another increase to its price cap from January 1, taking the typical bill for homes in England, Scotland and Wales up from £1,717 to £1,783 per year – or an extra £1.75 per month.

Caroline Abrahams, charity director at Age UK, said: “Older people, struggling without their winter fuel payment, who were praying for a reduction in energy prices to help them in the New Year, will be bitterly disappointed.

“The news that the energy price cap is instead slightly rising is the latest in a series of blows for pensioners living on a low or modest income, who do not receive Pension Credit because they don’t claim it or are not eligible.”

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