Low-Income Families: Energy Cost Support

Baroness Garden of Frognal Excerpts

Tuesday 6th September 2022 Lords Chamber

[Lord Callanan (Con)]

I am not sure that pawnbrokers have necessarily arisen just under this Government. However, I totally accept the general point the noble Lord is making: there are many people—actually, on all income levels—who are suffering because of this crisis, which we all know was caused ultimately by Putin’s invasion of Ukraine. This is a difficult problem, and there are no simple and easy answers. All the potential solutions are very expensive and need to be looked at closely, and I am sure that the PM will do that.

[Baroness Garden of Frognal (LD)]

Can the Minister please confirm that the Government are still intending to give £400 to all households, regardless of their income, and two or three times that amount if they happen to own two or three properties? Why are they not redistributing that money to those who really need it?

[Lord Callanan (Con)]

Yes, that is the intention. Again, the reasons for it are long and complex, as I just explained to the noble Baroness. By far the largest package of the support measures that were announced is in fact going to those on the lowest income. Having said that, there is a recognition that those who do not necessarily rely on benefits and are not on the lowest income—perhaps what is referred to as the “just about managing”—are also suffering and deserve some help. It is very difficult with current policies to target support directly at those people. We wanted to get the support out as quickly as possible, and that is the reason why one element of the package was universal—to ensure that support goes to those “just about managing” as well. However, as I said, the majority of the package is targeted at those on the lowest incomes—which is correct.