Fuel Poverty: England

Ellie Chowns Excerpts

Wednesday 12th February 2025 Westminster Hall

[Ellie Chowns (North Herefordshire) (Green)]

It is a pleasure to serve under your chairship, Mr Efford. I thank the hon. Member for Normanton and Hemsworth (Jon Trickett) for securing this important and timely debate. I thank all the constituents who have written to me, not just in the run-up to this debate but over months and months, to share their concerns about fuel poverty, and in particular the winter fuel payment, which I will discuss later.

This is an incredibly important issue in my North Herefordshire constituency, where 22.9% of households live in fuel poverty, according to the latest data from the Government’s low-income, low energy efficiency measure. That is far higher than the national average of 14.4%. As the measure indicates, fuel poverty is due to both low income and the lack of energy efficiency in the property—and, indeed, high fuel prices, as the hon. Member said. The number of detached houses in my constituency is nearly double the national average, and a far lower proportion of houses are on the mains energy supply. All those factors make fuel poverty a particular issue in a rural constituency like North Herefordshire. We also have a far higher proportion of over-65s— 50% more than the national average. All those contributory factors mean that fuel poverty is an incredibly real and presenting issue in my constituency.

In the emails constituents have sent me in recent days, weeks and months, they have talked about living with only one radiator on, and the fact that the lack of winter fuel allowance means they can no longer buy any coal in the winter—coal is the only source of heating for some of my constituents.

[Freddie van Mierlo]

Like the hon. Lady, I represent a rural constituency in which the number of residents who use heating oil and gas is more than double the national average. Will she comment on how we can transition those residents to more sustainable and cheaper sources of fuel?

[Ellie Chowns]

I thank the hon. Member, and I do plan to comment on that topic.

A lady wrote to me saying that she now lives wrapped in blankets. Constituents have shared with me their particular needs relating to their health conditions and just how damaging it is not to be able to afford to keep warm.

The hon. Member for Normanton and Hemsworth talked about the outrageous profits made by the energy companies, and I share his extreme frustration and distress at that situation. The Government could go even further to ensure that we do not see what is essentially price gouging. Constituents struggling in fuel poverty are the ones who are basically bearing the costs, and at the same time the big energy companies are making profits in the billions each year. It is absolutely extraordinary.

[Seamus Logan (Aberdeenshire North and Moray East) (SNP)]

Far be it from me to intrude on the grief of elected Members in England and their constituents, but this is Westminster, which is currently responsible for energy laws across the UK. Although devolved Governments have a role to play in reducing fuel poverty, the biggest levers of change, as the hon. Member would surely agree, are in the remit of the UK Government. I am thinking of the coupling of electricity prices—when electricity is increasingly generated here, on this island—with the global gas market; the nonsensical decision to cut the winter fuel payment; and the ongoing failure of the Government to reduce fuel bills, which are going up for the third time since July.

[Ellie Chowns]

I thank the hon. Member for his comments and agree that we must see the decoupling of electricity prices from gas. That situation currently contributes to the problems that people face.

We have established that the problem of fuel poverty is related in part to prices, which the Government have levers to control, but also to Government policies. I would like to talk in particular about three areas: targeted support to households in fuel poverty; insulation policies and how we deal with the housing stock that we already have; and how we ensure that future housing is future-proofed so that nobody who moves into a new house has to pay through the nose for energy.

On targeted support, I have criticised in the House a number of times the Government’s nonsensical decision to completely cancel the winter fuel allowance for all except a small number of people. Very large numbers of people in my constituency have written to me and still do, expressing great distress at the impact of that decision on them. I cannot urge the Government too strongly to reconsider and ensure that next winter we do not have thousands of people in my constituency, and millions of people throughout the country, facing increased fuel poverty because of the Government’s decision to stop the winter fuel allowance for so many who still need it. We also need there to be targeted support—I welcome the comments of the hon. Member for Normanton and Hemsworth about a social tariff—and help to repay for those in energy debt.

On the fundamental structural question of the quality of housing, the problem is essentially that our homes leak heat. People are paying money for energy that is going out the windows, up the chimney and out of the roof. It is a total waste. What will the Government do to tackle this? The previous Government destroyed the energy efficiency programmes. We need a nationwide, house-by-house, street-by-street home insulation programme to ensure that the energy that people buy stays in their homes. I really hope that the Minister will make concrete commitments to go further and faster to insulate homes.

Lastly, new homes must be built to the highest possible energy efficiency standards. If the cheapest time to insulate a home is at the point of construction, why are we not ensuring that all new homes are built to zero-carbon standards, to ensure that all the heat in a home stays in it?

--- Later in debate ---

[Miatta Fahnbulleh]

We have estimated that the average cost of upgrading homes to C is about £6,000. To protect landlords, we have put in place a cap of £15,000 and created mechanisms to provide exemptions for those landlords who we know will genuinely struggle. Alongside that, we are already providing support through our boiler upgrade scheme and warm homes local grant, which landlords can access, and we will be setting out more measures in the warm homes plan to support landlords on this journey. I should say that the vast majority of landlords want to do this—50% have already done so. We need to level the playing field for renters, so that all landlords are delivering homes to a standard that will ensure that they are warmer and cheaper to run for tenants.

A big plank of what we know we need to do to tackle fuel poverty—alongside what we are trying to do on minimum energy efficiency standards in the rental sector—will be our warm homes plan, which will transform homes across the country to make them cheaper and warmer. The idea behind it is simple and will mean upgrading homes with insulation, solar and heat pumps. In response to the points made about delays in rolling out the warm home plan, I would say that we are running at this. This year alone, we have massively increased the number of upgrades that we are expecting to 300,000, backed by £3.2 billion-worth of investment, and we will come forward in the spring with our plans to ramp that up.

The key thing that we are trying to achieve is moving from the hundreds of thousands of upgrades that we have seen—the inheritance of the last Government, who frankly slashed home upgrades, despite knowing their huge impact on bills and the comfort of consumers —to upgrading millions of homes. That will mean taking a comprehensive look at how we increase demand for home upgrades and deliver at scale in different places, working with regional government and suppliers, and, critically, how we ensure that when people go on this journey of upgrading their homes, they have the confidence to know—to the point made earlier—that the work will be done to a quality standard, and that if things go wrong there will be redress and protection. The current system that we inherited was far too fragmented and ad hoc. Consumers are not at its heart, and we absolutely must turn that around.

[Ellie Chowns]

I thank the Minister for giving way and for her comments so far. On the point about tackling the fragmentation and ad hoc nature of the previous system, does the Minister agree with me that home insulation upgrades are a win-win-win policy. They are good for people’s warmth and health, they are really good for jobs and they help to save the climate as well. One key barrier in recent years has been the stop-start, year-on-year type of policy that means that nobody in the supply chain is able to plan and have the strategic direction that they need to make the investments, build the labour force and so forth. Will the Government provide the long-term certainty about the policy direction and level of investment required so that everybody can pull together in the same direction?

[Miatta Fahnbulleh]

I absolutely agree that home insulation is a key part of how we tackle the problem of fuel poverty. Unless we have homes that are insulated, whatever energy we put into people’s homes, at whatever price, is going out of their windows. That is why it is so important to what we are trying to do through the warm homes plan. We seek through the plan to provide long-term certainty: for consumers, so that they know there is a programme that will support them through a journey, and, critically, for the supply chain.

I have spoken to many installers who tell me they are living hand to mouth. The ability to build, to plan, to recruit apprenticeships and to build up capacity is constrained by a stop-start approach. We are clear that the plan needs to be long term. We are working to make sure we can underpin that with long-term certainty on funding, so that we can see the level of ramp-up and scale-up that we need to insulate and upgrade millions of homes, rather than hundreds of thousands of homes.