14:08 03 June 2013
Labour would cut the fuel payment for those who pay high or top-rate income tax if they won at the next election, it has been announced on Monday, 3rd June, 2013.
Shadow Chancellor Ed Balls has said that Labour would cut the fuel pay-out for rich pensioners if they were to come into power. This comes as part of the issue surrounding spending cuts.
This would have an impact on 600,000 individuals. It is understood that it would mean £100million would be saved.
As reported by the BBC, the Shadow Chancellor stated that the winter fuel set-up helped many pensioners on low and middle incomes but that given the economic condition, his party aimed to achieve the correct balance.
This comes from Labour in connection with the fact that they want to show they can tackle difficult matters relating to spending.
Mr. Balls said: “So at a time when the public services that pensioners and others rely on are under strain, it can no longer be a priority to continue paying the winter fuel allowance to the wealthiest pensioners.”
It is understood Mr. Balls stated that he wanted to carry on reducing the deficit as well as bring in ways to help growth.
He also commented that: “The situation we will inherit will require a very different kind of Labour government to those which have gone before.”
Adding: “We will inherit a substantial deficit. We will have to govern with much less money around. We will need to show an iron discipline.”
The issue surrounding the sum of money allotted for winter fuel has reportedly caused some controversy.
It is believed that the Tories are being pressured by the Lib Dems when it comes to rich older individuals as they want to see certain aspects addressed ahead of other cuts.
Disclaimer: Supanet is not responsible for, and disclaims any and all liability for the content of comments written by contributors to this website