NEA: Additional help for the fuel poor – but not enough?

National Energy Action (NEA) the leading fuel poverty charity today welcomed the decision by all big six energy suppliers to offer more assistance to their vulnerable customers through social packages but expressed concern at the level of support.

Jenny Saunders, NEA’s Chief Executive, said: “While we welcome any move that helps those struggling to pay their fuel bills this winter, £100 million looks pretty paltry when you consider the billions made in profits by the major energy suppliers this year.

“The Government should introduce a simple mandatory social tariff, which guarantees that the most vulnerable customers get the lowest energy price a supplier offers.

“The Government should stop tinkering around the edges and introduce a more co-ordinated strategy to help over 4 million households in Great Britain that are now in fuel poverty.

“All six major suppliers have put their prices up this year forcing more that half a million more households into fuel poverty. The Government estimates that the extra funding unveiled today directed towards social tariffs could take 100,000 households out of fuel poverty. But what about the rest suffering fuel poverty?

“In England alone there are roughly 3 million fuel poor households – including families with young children and the elderly who are unable to keep warm and healthy. The resources directed towards the problem just aren’t adequate.

“We are again calling on Gordon Brown, who recently pledged to ensure that he will do everything to eradicate fuel poverty, to use the additional VAT receipts he receives as a result of price increases and direct them into energy efficiency schemes for the fuel poor; boosting the Warm Front grant programme.

“Energy efficient housing is the only long-term solution to this problem and must be linked to any price rebate schemes by the suppliers.”

Ends

Notes to the Editor

1. NEA is the leading fuel poverty charity campaigning for affordable warmth in the homes of vulnerable people. Visit www.nea.org.uk

2. Fuel poverty is defined as the need to spend over 10% of household income on fuel costs to maintain adequate warmth for health and comfort.

3. A 1% rise in energy prices forces 40,000 households into fuel poverty.

4. Since 2003 domestic gas charges have increased by some 90% and charges for electricity by 63%.

5. According to BERR, the increase to the collective total of at least £150m a year will be reached in 3 stages, making the total extra spend over the next three years £225m:

£100m 2008-9

£125m 2009-10

£150m 2010-11

For more information contact David Bootle, NEA Press Officer on 0191 2615677, or david.bootle@nea.org.uk or call 07984993579.