02.12.13
Government changing fuel poverty definition – MPs
Changes to energy policy risk “shifting the goal posts” on fuel poverty, the Environmental Audit Committee has warned.
Amendments to the Energy Bill could see the number of households in England classed as in fuel poverty reduced from 3.2 million to 2.4 million. Households are currently fuel poor if they spend over 10% of their income on fuel to maintain an adequate level of warmth, but the new definition is if the household spends ‘above average fuel costs’, leaving them with a ‘residual income below the official poverty line’.
The report comes as the government outlines proposals to reduce energy bills by an average of £50 a year by cutting green levies on energy companies.
Committee chair Joan Walley MP said: “The government is shifting the goal-posts on fuel poverty so that official statistics record far fewer households as fuel-poor. The changes to the fuel poverty definition and target, in part being made through amendments to the Energy Bill, should be stopped unless the government is prepared to make a public commitment to end fuel poverty altogether.
“A short-term bid to cut bills must not throw energy and climate change policy off-course. In the longer term green levies could actually keep bills down if they drive energy efficiency improvements that cut the cost of heating our homes. Insulating homes and supporting green technologies is vital to help the fuel poor and cut the emissions causing climate change.”
But a Department of Energy and Climate Change spokesman said: “The changes to the fuel poverty definition helps to get a better understanding of the causes and depth of fuel poverty, and to target policies more effectively.
“There is already a range of help for those in most need, including the warm home discount, winter fuel payments and cold weather payments.”
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