Fuel payments cut to prevent 'economic crash'

THE UK could have faced a run on the pound and an economic crash if Rachel Reeves had not axed winter fuel payments for millions of pensioners to fill a black hole in the public finances, Commons Leader Lucy Powell said.

Ms Reeves and Sir Keir Starmer have faced criticism from opponents, campaigners and some of their own MPs over the decision to means-test the payments, worth up to £300.

But Ms Powell said there was

“no alternative” and the decision was needed to avoid an economic catastrophe.

“This is one of those very difficult decisions we had to take,” she told Times Radio.

“But we have faced this huge additional black hole for this current financial year, borrowing higher than anybody understood.