Commons Sense

House of Commons · Westminster Hall

Fuel Poverty — [Sir Roger Gale in the Chair]

06 November 2024 · 10 other contributors · 11,828 words

Opened by Alistair Carmichael Lib Dem Orkney and Shetland

Responding minister: Michael Shanks

Summarised by AI from the official record, so it can contain mistakes.

At a glance

Alistair Carmichael raised concerns about fuel poverty — [sir roger gale in the chair] in Westminster Hall. A government minister responded.

Key points

  • Households in Scotland facing extreme fuel poverty rose to 472,000 by 2022.
  • In Orkney and Shetland, 31% of households live in fuel poverty compared to a Scottish average of 24%.
  • The Government committed to a 1.8 billion warm homes plan to support fuel poverty schemes.

Key requests to Government

The Government needs to provide meaningful action fit for the needs of the different parts of the United Kingdom. It was also mentioned that an isles tariff should be considered to help those who host major energy developments. The roundtable discussions need to progress and details shared with constituents.

How the debate unfolded

MPs spoke in turn to share their views and ask questions. Here's what each person said.

Opened the debate

Alistair Carmichael Lib Dem Orkney and Shetland

A household in fuel poverty commits more than 10% of its income to maintain a satisfactory heating regime, with extreme fuel poverty defined as over 20%. In Scotland in 2022, some 791,000 households were fuel-poor and by 2022 the figure for extreme fuel poverty had risen to 472,000. In Orkney and Shetland, 31% of households live in fuel poverty compared to a Scottish average of 24%. The MP highlighted that winters are longer, darker, and colder with off-gas grid heating predominantly relying on electricity, oil or solid fuel.

Other contributors (10)
  • Andrew Bowie Con West Aberdeenshire and Kincardine

    Praised the Conservative Government's efforts in increasing home insulation EPC ratings from 12% to 41%, but acknowledged they could have done more. Highlighted concerns over the removal of winter fuel allowance, particularly for pensioners in rural areas facing severe winters. Criticised Labour's decision on funding and public sector pay rises as unfair towards vulnerable pensioners. Aspire to that.

  • Angus MacDonald Lib Dem Inverness, Skye and West Ross-shire

    Discussed the challenges of fuel poverty and care sector in rural Scotland, highlighting higher costs due to colder weather and older houses. Suggested equalising standing charges and focusing winter fuel allowance on the most deserving people. Will the Minister allow humble servants such as myself to get involved in that? I have spent several years working with the Highland council and others on community benefits, and I would appreciate a meeting.

  • Anna Dixon Lab Shipley

    Highlights the impact of poor-quality housing on fuel poverty in Shipley, noting that around 17 energy crisis hotspots exist. Emphasises the importance of focusing efforts to tackle fuel poverty on areas with below-average household income and above-average energy bills. Acknowledges a scandal where pensioner poverty rose from 12% to 16%, affecting more than 2 million people despite a decline in pension credit claimants. Anna Dixon suggested that building more high-quality housing for older people is part of the solution to address unsuitable homes and provide better-insulated alternatives, making it easier for them to heat their homes. Congratulated the Chancellor on increasing the windfall tax on gas and oil companies to invest in priorities such as home insulation. The Lancet and the Institute of Health Equity have estimated that there were 102 excess winter deaths in Shipley due to cold homes, indicating that previous government measures did not effectively reduce fuel poverty or prevent deaths from cold homes.

  • Clive Jones Lib Dem Wokingham

    Tackling fuel poverty needs to be a priority, as progress has stalled since 2019 and UK homes are among the least energy-efficient in Europe. The Resolution Foundation noted that housing stock offers the worst value for money of any advanced economy, with British housing being the oldest in Europe and 38% built before 1946. NHS spends an estimated £1.4 billion annually on treating illnesses associated with cold and damp housing, rising to £15.4 billion when wider societal costs are considered.

  • Danny Chambers Lib Dem Winchester

    The NHS spends about £1.4 billion annually dealing with health issues caused by living in cold or damp homes, highlighting the impact of fuel poverty on individual finances and healthcare resources. The Liberal Democrats propose an emergency home energy upgrade programme for vulnerable populations to improve housing quality, reduce environmental impact, and ensure new builds are net zero.

  • Helen Grant Con Maidstone and Malling

    I recently visited the home of an elderly pensioner in my constituency where she was wearing multiple layers because she could not afford to turn on her heating. She is afraid of the cost and it affects her health. Does the right hon Gentleman agree that the Government's cut to winter fuel allowance will have serious impacts?

  • Jim Shannon DUP Strangford

    Jim Shannon highlighted the high levels of fuel poverty in Northern Ireland, noting that it is at 21.5% compared to 10.4% in England and 26.5% in Scotland. He cited a Housing Executive report indicating that if the measure is based on 21°C heat in living rooms, the figure for Northern Ireland rises to 30%, making it the highest in the UK. Shannon described how people are forced to wear heavy clothing inside their homes and mentioned a staff member who spends £1,127 over four months just on gas to keep her home warm. He emphasized that fuel poverty affects not only low-income households but also middle-class families and pensioners who rely heavily on oil heating. Shannon called for the reinstatement of the winter fuel allowance and advocated for energy-efficient housing. I am very much listening to the Minister, who was perhaps about to tell us what will happen in Northern Ireland, where 62% of households are dependent on oil. In comparison, the proportion for England—I say this gracefully, Sir Roger—is only 4%. The greater emphasis on Northern Ireland will therefore fall upon us.

  • Sarah Dyke Lib Dem Glastonbury and Somerton

    I have recently received more than 200 emails from pensioners in Glastonbury and Somerton who do not know whether they can afford to turn on the heating this winter. Does my right hon Friend agree that the Government should provide targeted energy discounts for vulnerable households?

  • Victoria Collins Lib Dem Harpenden and Berkhamsted

    Intervenes to express concern about the impact of fuel poverty on local charities and councils, noting that these entities are stepping up to support those falling into fuel poverty after the winter fuel payment was scrapped. Victoria Collins shared a constituent's story of having to choose between staying in bed all day or keeping warm with limited electricity, illustrating the difficult choices faced by those struggling with fuel poverty.

  • Vikki Slade Lib Dem Mid Dorset and North Poole

    The MP highlighted the impact of fuel poverty in southern constituencies with solid walls and thatched roofs, which are difficult to insulate. She noted that people face a choice between heating and eating, and praised the Help for Warmth scheme but argued it only addresses symptoms rather than causes. The Liberal Democrats advocate reducing energy demand through home insulation programmes and promoting solar PV on new homes, arguing that this would be cost-effective if scaled up.

Government Response

Michael Shanks

Acknowledged the importance of tackling fuel poverty, noting that it is a devolved issue with different metrics and targets across the UK. Emphasised the need for action beyond previous commitments to reduce fuel poverty. Highlighted the government's warm homes plan, which includes £1.8 billion to support fuel poverty schemes helping over 225,000 households. Discussed ongoing consultations on increasing energy standards in private rented sector and measures to ensure community benefits from hosting energy infrastructure. Mentioned the need for consumer protection, including strengthening Ofgem's role in holding companies accountable for wrongdoing and ensuring better compensation when providers fail.

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