Cold homes death toll reveals grim cost of fuel poverty

National Energy Action (NEA) is warning of the increased risk posed by cold homes this winter, after new ONS figures show this as the cause of 8,500 deaths last year.

The charity has issued the warning on Fuel Poverty Awareness Day (27 November), in which it was revealed that there were 28,300 excess winter deaths in total last year.

With more people spending increased time at home due to the pandemic, NEA fears that millions of people in cold homes are at greater risk this winter.

It has today launched its Warm and Safe Homes Campaign in which it urges three actions to help those who are fuel poor:

• Ensuring enough money for essentials: The Universal Credit uplift must be maintained and strengthened. This will give confidence to people that they can continue to spend what they need over the winter and beyond.
• Bringing forward Breathing Space and new actions to clear debt: halting enforcement action, providing flexibility on repayment plans and introducing new ways to help people with debts will reduce the additional stress caused by falling into household debt.
• Proactive, coordinated and targeted response from frontline agencies making sure that those in need are aware of the help available and supported to action this. National and local government, energy suppliers, network operators, health agencies and other frontline organisations need to proactively identify and assist these customers and clients.

Adam Scorer, NEA chief executive, said: “In our last ‘normal’ winter 8,500 lives were lost because of cold homes. Low incomes, high energy costs and poor heating and insulation all combined to leave them in conditions which were unfit to help them survive the cold weather.

“This winter that lethal cocktail will be made many times worse by the impact of Covid-19. Millions of households on low incomes will be spending more time at home with an impossible decision to make.

“Will they keep themselves and their families warm and probably fall into debt; or will they ration their heating and resign themselves to life in a dangerously cold home at greater risk of the very health conditions that follow COVID-19?

“This winter, places of warm refuge, like libraries, cafes and neighbours’ houses will be close by but out of reach.”

During the first wave of Covid-19 NEA put out a call for evidence to organisations supporting people in fuel poverty to understand how the virus and accompanying lockdown had impacted vulnerable and low-income households.

In total, 75 per cent said they were concerned that there is a high risk of the increased building up of fuel debt this winter, as a direct result of the pandemic.

Scorer added: ‘’Ultimately, the best solution is a strategic one. To turn cold and dangerous properties into warm and safe homes, easy and cheap to heat. It is well understood that delivering good, warm homes creates jobs, reduces carbon emissions, eases pressures on the NHS as well as allowing people to live better lives.

“But that vital project is for the decades. Fuel poverty will cost lives this winter. Those at risk desperately need an immediate as well as a strategic response. If not the consequences do not bear thinking about.”

NEA’s warning comes as research published by Comparethemarket.com found that nearly a third of people (31 per cent) said they will ration their heating during the coming months to tackle rising bills as a result of the second lockdown.

Previous research from the comparison service found that a rise in consumption may lead to households paying nearly £80 more in November and December than normal.

Furthermore, 29 per cent of all households say they are probably not in a financial position to be able to meet the cost of higher energy bills this winter.

Fuel Bank Foundation

Elsewhere in the sector, national fuel poverty charity Fuel Bank Foundation (FBF) has agreed in principle to a £3 million pound partnership with National Grid and Affordable Warmth Solutions.

The money for the multi-million pound partnership will be provided over a three-year period from National Grid’s £150 million warm home fund to tackle fuel poverty.

It will enable the charity to expand its operations, providing a range of new services to support consumers are risk of self-disconnection.

FBF provides emergency financial support via a £49 voucher to people unable to top up their prepayment gas or electricity meter. On average, the charity says, £49 will keep the lights and heating on in a home for up to two weeks.

The voucher is available for customers of all GB energy suppliers and does not need to be repaid.

The partnership with FBF is the first time Affordable Warmth Solutions, which administers National Grid’s fund, has funded a project that provides immediate financial crisis support for prepayment customers at risk of self-disconnection.

Matthew Cole, Fuel Bank Foundation chair of trustees, said: “Thanks to the funding from National Grid and AWS we can continue to provide much needed support to some of the most vulnerable people in society who often, through no fault of their own, find themselves in the tragic situation of being unable to meet their basic energy needs.

“When the money runs out the lights switch off and people are left without energy for the basics like cooking and heating. No one should have to live like this.

“Working in partnership with other like-minded organisations, charities, advice agencies and local councils our aim is to better identify and support those in fuel poverty.”

Jeremy Nesbitt, managing director of Affordable Warmth Solutions, said: “I’m indebted to the continued support of National Grid, and through our Warm Homes Fund we have already committed investment of around £125 million to provide direct support to lift tens of thousands of households out of fuel poverty and as a result helped improve the health and comfort of many now living with more efficient and effective heating systems.

“Working with FBF enables AWS to reach more people in fuel crisis and provide support to help them with sustainable solutions.”

Chris Bennett, National Grid director, UK regulation, said: “I’m delighted that National Grid are able to support this exciting new initiative to provide financial assistance and advice to some of the most financially disadvantaged households in the country.

“We understand this will not solve all of the problems associated with fuel debt but it will certainly ease the burden on thousands of households and enable them to keep the heating and lights on during periods of extreme hardship.”