To ask Her Majesty’s Government what has been the cost to the public purse in each of the last five years of the winter fuel allowance; and what would be the tax receipt if it were subject to the same tax as retirement pensions.
Answered on
7 April 2016
The Government has committed to keeping the Winter Fuel Payment for the lifetime of this Parliament. The cost over the last five years is as follows:
2010/11 | 2011/12 | 2012/13 | 2013/14 | 2014/15 |
£m 2,759 | 2,149 | 2,144 | 2,140 | 2,117 |
The Government has not estimated the corresponding tax receipts had the Winter Fuel Payment been taxable.
There is a total of 11.4 million pensioners in the UK.
National Statistics, published by HMRC, show that in 2013/14, there were 6.12 million taxpayers whose main source of income is from pensions, of which 90 per cent pay the basic rate of tax and 6 per cent pay the higher rate of tax.