Pensioners and Winter Fuel Payments

David Simpson Excerpts

Tuesday 22nd November 2011 Commons Chamber

[David Simpson (Upper Bann) (DUP)]

It is important to say at the start that DUP Members support the measures that coalition Members have talked about, including insulating walls and new windows, but we need to talk about now. We are coming into the winter, and we need to talk about winter fuel payments. Those other measures are good in their place, and eventually—hopefully—they will be implemented in many of our older buildings in the UK, but that is not happening now. We need to talk about the here and now of winter fuel payments.

I begin by quoting a Government Minister speaking in this Chamber a little earlier this year:

“I am sorry, we got this one wrong—but we have listened to people’s concerns. I thank colleagues for their support through what has been a very difficult issue. I now want to move forward in step with the public. I hope that the measures that I have announced today, signalling a fresh approach, demonstrate my intention to do the right thing”.—[Official Report, 17 February 2011; Vol. 523, c. 1155-1156.]

That was the Secretary of State for Environment, Food and Rural Affairs speaking about forestry. Would it not be an extraordinary state of affairs if a member of Her Majesty’s Government could come to the House to offer an apology, concede that the Government have got it wrong, say that they had listened to the people and announce a change of direction on forests, but another member of the Government says that there could be no such apology, announcement or about-turn when it comes to our elderly, who are some of the weakest and most vulnerable members of our society?

That is the distasteful core of the debate, and it is why the DUP moved this motion today. Some hon. Members might feel that using words such as “distasteful” is taking things a bit far, but let me quote from the independent financial advice website, moneysavingexpert.com. On 24 March 2011, it reported that the Chancellor had “secretly” cut the allowance. In an article published on 19 October 2011, fullfact.org considered the conflicting arguments between the political parties and referenced a recent piece jointly written by the Prime Minister on moneysavingexpert.com on 17 October. The fullfact.org article concluded by saying that despite questions on how long the payment was intended for,

“there seems to be no question that the payments are being reduced.”

My colleagues mentioned this earlier, but it perhaps needs to be mentioned again. The Minister asked, “Where does this extra money come from?” In that respect, we need to emphasise the hundreds of millions of pounds that have been poured into Europe—in Northern Ireland, we would say that it is disappearing like snow off a ditch. We see no benefit from the money, but our old and other members of society in the UK are suffering greatly for it. The Government need to re-look at the money that they are pouring into Europe while our old and infirm are suffering at home.

According to uSwitch.com, the price comparison website, the position for many in the UK is that since November last year, energy suppliers have increased their prices by £224, or 21%, on average. As a result, the average household energy bill has rocketed from £1,069 to £1,293 a year. In just over five years, household energy bills have rocketed by £633, or 96%, from £660 a year in 2006 to £1,293 a year today, following recent increases.

The number of those in fuel poverty has spiralled, with 6.9 million, or 27%, of households now affected. The worst affected groups are single working parents, pensioners or couples living off one income. Almost nine in 10 households—89%—will ration their energy use this winter to save on bills. As a result, potentially 23 million households will be switching off or turning down this winter, 4 million—or 16%—more than last year.

Eighty-seven per cent. of people are worried about the cost of their energy bills as they head towards the winter months, 26% more than last year. Fifty-five per cent. of people went without heating at some point last winter to keep energy costs down. That looks set to rise. The hefty 21%, or £224, hike in the last year means that energy costs are the top household worry for consumers—90% of households are worried about energy costs, whereas 42% of households are worried about mortgage payments and 77% are worried about the rising cost of food.

The disposable income of more than nine in 10 households —93%—has been hit by the rising cost of energy. Thirty-seven per cent. have seen a dramatic reduction in their disposable income, while 19% no longer have disposable income. More than one in three households—37%—are in bill debt and are using credit to cover their day-to-day household bills. Thirty-six per cent. owe more than £1,000 and more than one in 10 households—14%—owe more than £3,000.

If ever a year were exactly the worst time to introduce such a cut, it is this one. If ever there were a year when introducing such a cut was precisely the last thing that the Government ought to do, it is this one.

This debate was introduced by the DUP, but it is not simply about Northern Ireland; it is rightly about the entire UK. However, alongside the issues that I raised previously, I should like to focus on Northern Ireland. According to Age Sector Platform—other right hon. and hon. Members have stated this, but it needs to be stated again—last winter, Northern Ireland faced the coldest December for more than 100 years. It was a horrific time for the elderly. According to figures that I have been given, during the winter of 2009-10, 756 people aged 65-plus died of cold-related illnesses in Northern Ireland.

With the additional costs, the price hikes, the increased bill debt, the reduced disposable income and the increased rationing of warmth, does any right hon. or hon. Member really suppose that we will not witness more vulnerable people dying needlessly this year? Does anyone suppose that the planned cut will reduce the number of deaths? If the Government can come to the Chamber, offer an apology, claim to have listened to the views of the public and announce a U-turn on forests, why can they not do likewise for the old, the frail and the most vulnerable in our society?

There are many men and women fighting for this country in Afghanistan, or who fought in Iraq and Libya, who have parents at home who are vulnerable and getting it hard. They are fighting for their country while this coalition has taken away the very money that could help to heat their parents’ homes. That decision is unacceptable and needs to be reversed. If the Government can do it for forests, surely to goodness they can do it for the most vulnerable in our society.

[Several hon. Members]

rose—