Scottish Government expected to announce Winter Fuel Payment replacement

The Scottish Government is today expected to announce a new winter fuel benefit for pensioners.

The move comes after Scottish Labour announced it would force a vote on reinstating the seasonal payment.

Chancellor Rachel Reeves ended universal entitlement to the Winter Fuel Payment, worth up to £300, in a move backed by MPs after Labour won the general election. Under the new rules, eligibility is limited to those in receipt of Pension Credit.

The decision came as Scottish ministers prepared to take charge of the benefit. At the time, social security secretary Shirley-Anne Somerville said the devolved government had to adopt the same policy as UK ministers on cost grounds.

But Somerville is today expected to announce a replacement payment. 

It is understood that this will be in place by next winter.

Further details are expected this afternoon in a statement to the Scottish Parliament.

Reeves said changes to Winter Fuel Payment entitlement were related to a "black hole" in the public finances inherited from the previous Conservative administration.

Efforts to improve take-up of Pension Credit have followed, but there has been anger from organisations representing older people.

The change impacts around 900,000 people in Scotland.

Last week Scottish Labour said it would reinstate a winter payment for older people if it wins the 2026 Scottish Parliament election.

It then announced it would ask MSPs to vote for bill amendments which would see support restored from next year, with the sum paid "tapered" for those on the highest incomes.