Research warns 200,000 households to slip into fuel poverty

Research from a coalition of organisations including the Mayor of London’s office has found more than 200,000 households are set to fall into fuel poverty due to the economic downturn.

The End Fuel Poverty Coalition has further warned that as the numbers in fuel poverty rise, a second wave of Covid-19 in the winter could have a “catastrophic” effect on individuals and health services.

Last week chancellor Rishi Sunak announced a new £2 billion grant programme for home upgrades. Homeowners will be offered vouchers worth up to £5,000 to help them improve the energy efficiency of their properties. There will be a higher ceiling of £10,000 on grants for poorer households.

The End Fuel Poverty Coalition has launched a petition calling on the government to build on the announcements made by the chancellor and take urgent action to help address the financial impact of the crisis.

It urges the government to take four key steps to tackling fuel poverty by the winter:

• Introduce fuel poverty debt relief (not deferral) so that fewer people have to choose between eating or heating
• Rapid roll-out of large-scale energy efficiency programmes which would also deliver a green economic stimulus that is shovel ready (e.g. retrofitting of people’s homes and improved heating systems)
• Urgent delivery of government promises on tackling fuel poverty, such as extension of Warm Home Discount, introduction of the promised home upgrade grants and social housing decarbonisation programme
• Immediate steps to improve energy standards in the private rented sector, alongside improved security and affordability for private tenants

Speaking on behalf of coalition member Advice 4 Renters, Jacky Peacock said: “Ending fuel poverty is a public health priority, but it can only be solved through economic measures.

“The government must deliver its full manifesto pledge to invest £9.2 billion in building energy efficiency, extend the Warm Home Discount and introduce wider home upgrade grants. It must also take further steps to improve energy standards in the private rented sector, alongside improved security and affordability for private tenants.

“Finally, we must see a fuel poverty debt relief, not deferral of payment, programme introduced to ensure fewer people will have to choose between heating and eating.”

Responding to the research Matt Cole, chair of the Fuel Bank Foundation, said: “As incomes decline more people naturally cross the line into fuel poverty and a lot of organisations have been pushing for practical measures to reduce energy bills through increased efficiency. Indeed the chancellor announced that some support would be available which is a good thing.

“One thing I am very conscious of is the fact that a lot of people who lead chaotic lives or have little to no surplus cash spend each day thinking about how to get through to tomorrow. As a result they are less likely to be able to even consider driving some things themselves. For these groups at least any energy efficiency drive needs to ensure that the least able are brought in somehow since in honesty the potential benefits that could be delivered here are the most material.”