Labour’s winter fuel payment cuts will push tens of thousand more pensioners into poverty.

Government estimates show that the controversial change will mean up to 100,000 more OAPs are in relative poverty after housing costs by 2027.

The previously universal allowance, worth up to £300, is being restricted to only those on pension credit from this winter in a bid to save the public purse £1.5 billion a year.

Tory shadow work and pensions secretary Helen Whately said: “Finally the dam breaks and we get to see what Labour have known all along.

“Labour made a political choice to give inflation busting pay rises to their union paymasters, and now 100,000 pensioners are going to be plunged into poverty.

“Now the true impact of their cut has been revealed it’s time for Labour to reverse it.”

Government analysis of the impact of its decision to restrict the payment was published by the House of Commons Work and Pensions Committee today.

A letter to the committee from Work and Pensions Secretary, Liz Kendall, said: “The latest modelling shows that compared to the numbers that would have been in poverty without this policy, it is estimated that in each year in question there will be an additional 50,000 pensioners in relative poverty after housing costs in 2024-25, 2025-26 and 2027-28, instead.

“The modelling also shows that an additional 100,000 pensioners are estimated to be in relative poverty after housing costs in 2026-27, 2028-29 and 2029-30.

“For all other measures of poverty it is estimated that there will be an additional 50,000 pensioners in poverty each year from 2024-25 to 2029-30.”

Morgan Vine, director of policy and influencing at Independent Age, said the official modelling was “extremely alarming”.

She said: “The UK Government’s own analysis has now revealed the extent of the devastating impact of limiting the payment to just those on pension credit. With this information now in the open, it is essential ministers put a stop to this policy change right away.

“At Independent Age we can already see the terrible impact this policy decision is having, the older people living on a low income that we speak to feel forced into making drastic cutbacks.

“We have heard harrowing stories of people going to bed in hats and coats, washing in cold water, only heating one room and visiting public places to stay warm. This is unacceptable. With almost 2 million older people already living in poverty, this data is further evidence that the UK Government should change course and ensure everyone who needs the Winter Fuel Payment continues to receive it.”

Jan Shortt, general secretary of the National Pensioners Convention, added: “It is unacceptable that an extra 50,000 to 100,00 older people will fall into poverty due to the Chancellor’s decision to cut universal winter fuel payments.

“The Government must come clean about the extent of poverty among older and disabled people.”

Sir Keir Starmer‘s government has faced criticism for axing the payments for around 10 million elderly people.

Scottish Labour today vowed to reinstate the allowance to all pensioners north of the border if the party wins the next Holyrood election in 2026.

Under the plans, the amount would be tapered so that wealthier OAPs receive less.

Ms Whately added: “Even the Scottish Labour Party can’t stomach Keir’s winter fuel payment cut any longer.

“He’s going to leave hundreds of thousands of vulnerable pensioners struggling to pay their bills this winter just to make a political point. There is still time for him to back down before it’s too late.”

Cabinet minister Steve Reed said Scottish Labour had “made their choice” and it was part of devolution that there would be differences across the union.

A Government spokesperson said: “Internal modelling on poverty estimates was produced as part of routine policy advice. The modelling is subject to a range of uncertainties and does not take into account the significant work we’re doing to encourage pension credit take-up. Our awareness drive has resulted in a 152% increase in claims since July.

“The modelling also doesn’t reflect that we have put in place extra support for those who need it most, such as our extension of the Household Support Fund. Many pensioners will also benefit from the £150 Warm Home Discount and Cold Weather Payments to help with energy bills and millions of pensioners are also set to benefit from an increase of up to £470 to the state pension in April.

“This government inherited a £22 billion black hole in our public finances, which means we needed to take tough decisions to balance the books. We continue to urge pensioners to check their eligibility for pension credit to ensure as many people as possible receive the support they’re entitled to.”