Rachel Reeves said it was a 'difficult decision' to axe the winter fuel payments, to 'fix the foundations of our economy.'
Those not in receipt of pension credit or certain other means tested benefits will no longer receive the winter fuel payment.
The government will continue to provide winter fuel payments worth £200 to households receiving pension credit, or £300 to those with someone over the age of 80.
The Chancellor stated, 'It is the responsible thing to do to fix the foundations of our economy and bring back economic stability.'
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