Bereaved pensioners are facing another potential assault on their finances after Labour refused to rule out axing the single person council tax discount.

Council leaders have asked for the power to decide if the 25% reduction in bills is applied in their areas.

Housing Secretary Angela Rayner dodged questions about whether she will give in to their demands.

Campaigners warned it would hit older people hard, particularly coming on the back of the winter fuel allowance cuts.

Silver Voices direc tor Dennis Reed said: “The single person discount helps many widows and widowers.

“They are already going to be struggling after the winter fuel allowance cuts, which came out of the blue and are cruel as well as crude.

“The punishment for older people is adding up by the day.”

Shadow housing minister David Simmonds said: “This is further proof of Labour’s plans to hike council tax bills by the back door.

“Scrapping the single person discount will not only mean widows and widowers face being bullied out of their family homes by Angela Rayner, but all adults who live alone including hard-pressed single mums and dads.

“The Conservatives will always oppose these vindictive tax hike plans, and campaign to protect the council tax discounts that residents are entitled to.”

Ms Rayner said Westminster has no plans to increase English council taxes but refused to say whether she would scrap the single person discount to the bill.

The Deputy Prime Minister, who is also the Secretary of State for Housing, Communities and Local Government, told the Commons her Government “is about making sure that working people are better off”.

But when asked about the single person discount, which reduces council tax bills by 25% for taxpayers who live alone, Ms Rayner did not commit to keeping it in place.

Conservative former minister Graham Stuart said the discount “is so important to pensioners who are already losing out because of the absence of the winter fuel allowance”, a reference to the previously universal payment to pensioners of up to £300, which the new Labour Government has announced will be available only to eligible benefits claimants from 2024.

He urged Ms Rayner to “guarantee today, put gladness into all their hearts across the country,” that she would not look at removing the discount.

Ms Rayner replied: “I find it astonishing that members opposite, after running down the economy in the way that they have, after the Chancellor had to come to this House to talk about the billions of pounds black hole, that they’re now trying to claim that this Government is about raising taxes.

“This Government is about making sure that working people are better off and we’ll intend to do that.”