Fuel Poverty

(asked on 5th July 2022) - View Source

Question to the HM Treasury:

To ask the Chancellor of the Exchequer, if he will take further steps to support households at risk of fuel poverty.


Answered by
Alan Mak Portrait
Alan Mak
Minister of State (Department for Business and Trade) (jointly with the Cabinet Office)
This question was answered on 13th July 2022

The Government recognises that millions of households across the UK have been impacted by rising energy bills and the wider cost of living. That is why the Government is providing over £15 billion in further support, targeted particularly on those with the greatest need. This package is in addition to the over £22 billion announced previously, with government support for the cost of living now totalling over £37 billion this year. The package includes:

  • £400 off GB energy bills from October through the expansion of the Energy Bills Support Scheme (EBSS);
  • A £650 Cost of Living Payment for over 8 million households across the UK in receipt of means tested benefits;
  • A £150 one-off disability Cost of Living Payment for 6 million people who receive non-means tested disability benefits;
  • An extra one-off £300 this year for over eight million pensioner households to help them cover the rising cost of energy this winter;
  • An extra £500 million of local support, via the Household Support Fund, for households that are not eligible for Cost of Living Payments or for families that still need additional support.

The Government has also expanded and increased the Warm Home Discount. Three million vulnerable households will now receive £150 each year. The Government’s objective for the Warm Home Discount is to focus the support towards those on the lowest incomes and in, or at greatest risk of, fuel poverty.

The Government has robust plans in place to improve the efficiency of peoples’ homes. The Heat and Buildings Strategy, published in October, detailed the £3.9 billion committed over the Spending Review period to improve the energy efficiency of our building stock and help to reduce bills.

We are also expanding the Energy Company Obligation, which places an obligation on larger energy suppliers to provide energy efficiency and heating measures for fuel poor households across Great Britain, to £1 billion per year from 2022-2026. This will help 133,000 low-income households annually to improve their energy efficiency.

The Government will continue to monitor how global events affect energy bills and the cost of living into the winter.

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