The Scottish Government has called on UK Government ministers to
urgently deliver a targeted energy bill discount to protect
customers in greatest need and drive down high fuel poverty
rates.
The final report of the Social Tariff Working Group – comprising
energy suppliers, consumer and fuel poverty groups and disabled
people's organisations – published today, recommends targeted
energy bill support to address the issue of unaffordable bills,
plus a move beyond determining eligibility based on receipt of
benefits.
The group concluded that support applied automatically to
eligible households, using metrics based on a combination of
household income, medical need and rurality would have a positive
impact.
Acting Climate Action Minister said:
“High energy prices remain the single greatest driver of fuel
poverty in Scotland, and we have taken various steps - within the
limits of our devolved powers - aimed at raising household
incomes and improving energy efficiency. We have reinstated the
Winter Fuel Payment for pensioners; we have increased funding for
Warmer Homes Scotland by £20 million, helping around 1,500 more
households save on energy bills; and we have committed a further
£20 million for the Scottish Welfare Fund to support the most
vulnerable people.
“However, this is not enough to drive down stubbornly high fuel
poverty rates and energy prices continue to rise. Targeted bill
support is urgently needed to ensure that consumers are protected
against high costs at source and can afford all their energy
needs.
“We have worked very productively with energy providers and
advice groups to come up with a deliverable scheme, and the final
report demonstrates clear consensus on the way forward. However,
the fundamental levers to make a difference are with the UK
Government.
“Existing one-off flat rate rebates are insufficient and are not
a long-term solution, and the UK Government must urgently deliver
a unit rate discount, with the level of discount proportionate to
need. The outputs from our group must act as a foundation and
mainstay of a revised strategy, providing a signal of intent and
leadership by the UK Government in tackling fuel poverty at
source.”
The group considered fuel eligibility, consumer eligibility and
data, level and form of support, and funding, as well as feedback
from frontline advisers and campaigners.
Its conclusions differ from previous models which would have
meant moving customers on to a different tariff, thereby removing
them from the competitive market and from other means of saving
money.
Background
Energy: Social Tariff
Working Group - gov.scot
Letter to UK Government
Energy Consumers Minister
