Urgent action needed to lift millions out of fuel poverty

The National Consumer Council (NCC) and energywatch today warn the government and the energy industry that time is fast running out to eradicate a Victorian affliction that still haunts our affluent 21st century society.

While all eyes are on the government’s imminent energy white paper, and its big-picture plans for future energy policy, almost four million UK households - twice as many as 2003 – struggle to afford to heat their homes adequately.

They need to spend more than 10 per cent of their income on gas and electricity – almost three times the share of everyone else. Poorly heated and insulated homes, high energy prices and low incomes conspire to make their lives a misery – and give the UK one of the worst fuel poverty records in northern Europe. The daily struggle to keep warm and pay their fuel bills is told by victims themselves in a moving NCC short documentary launched today alongside NCC’s blueprint for action to tackle the scandal.


Lord Whitty, NCC chair says: ‘The government’s 2010 target to end fuel poverty in the most vulnerable households is less than 3 years away. There are now three million vulnerable households in fuel poverty and recent cuts in fuel charges cannot, on their own, make that 2010 target achievable. The forthcoming energy white paper must address fuel poverty as a matter of urgency.’

Adam Scorer, director of campaigns at energywatch says: ‘The NCC documentary brings into sharp focus the plight of Britain’s fuel poor and the need for a coherent strategy to tackle fuel poverty.

‘The energy white paper provides government with the last real opportunity to spell out actions to meet its own fuel poverty targets. While discounted ‘social tariffs’ are not a cure-all for fuel poverty, they are a necessary element of any strategic response. energywatch is recommending that the forthcoming energy white paper includes a commitment that all suppliers should provide their most vulnerable customers with the cheapest tariffs.’

NCC’s blueprint for action points out that around 80 per cent of people in fuel poverty live in homes of below average energy efficiency – many of them owner-occupied or privately-rented. And despite the £200 winter fuel allowance, many victims are pensioners.

Lord Whitty adds: ‘Households account for around one-third of UK carbon emissions. So it’s vital to tackle together the social and environmental challenges of both fuel poverty and climate change. Our blueprint isn’t only about ending fuel poverty for good. It’s also about helping save the planet.’

NCC’s research into the causes of fuel poverty shows how energy tariffs and ways of paying fuel bills discriminate against the poorest in society – so many pay more than everyone else. And it says that government should review the financial help offered to disadvantaged and vulnerable consumers to ensure that essential household bills are affordable.

NCC’s blueprint for action includes harnessing 21st century smart meter technology to encourage energy efficiency, and fairer and more affordable tariffs for vulnerable groups.

NCC is calling for:

Smarter tariffs that are fair and affordable, but also encourage energy efficiency.

Innovative payment methods that meet the needs of consumers – especially low-income consumers.

Adequate financial help so people most in need can afford to keep warm.

Better-targeted energy efficiency programmes to simultaneously combat climate change and fuel poverty.