UK fuel poverty 'getting worse'

10th June 2009

A committee of MPs has warned that fuel poverty in the UK is getting worse, despite efforts by government to eradicate the problem by next year.

The Commons environment, food and rural affairs committee urged the government to offer more help to millions of households who remain in fuel poverty due to the increase in energy bills.

A report published on Wednesday called on the government to set up an action plan in the next three months to work towards providing more energy efficient measures by 2015.

Plans included a detailed "road map" setting out a national plan for energy efficient homes to the minimum standard of 65 on the government's energy rating scale and to 81 wherever practicable.

The creation of a central budget was also suggested, into which energy companies will direct their carbon emissions reduction target (CERT) contributions.

The budget would be created through a single programme with money pooled with cash from other programmes, as part of delivering a national plan to provide home upgrades.

But the committee criticised the government for not bringing forward a review earlier, following the increase in fuel poverty beginning in 2005.

Committee chairman Michael Jack said: "We need action and clarity, not further consultation to tackle the three elements that drive fuel poverty: prices, incomes and energy efficiency levels.

"The government must act swiftly to bring forward practical measures before next winter, using technologies that are already well understood, to help the millions of households who remain in fuel poverty."

The committee also called on the government to stop paying the winter fuel payment to higher-rate taxpayers, using the money to instead fund a larger programme of "practical energy saving improvements".

In 2008-09, only 12 per cent of individuals receiving winter fuel payments were classified as living in fuel poverty.

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