Fuel Poverty: England

Freddie van Mierlo Excerpts

Wednesday 12th February 2025 Westminster Hall

[Jon Trickett]

The hon. Lady has made her point. The House probably knows my views on the winter fuel allowance, but I had better move on before I get myself into trouble.

One in four households in Fitzwilliam and Kinsley in my constituency, where miners once provided the heat for our country, are now living in fuel poverty as a result of changes over the past few years. There are two definitions of fuel poverty. The first is the Government’s rule, which was changed under the Tory Government in 2015. Under that definition, an estimated 3 million households in England alone are in fuel poverty, but it requires both that the household is in poverty and that the house is inadequately insulated.

[Freddie van Mierlo (Henley and Thame) (LD)]

Will the hon. Gentleman give way?

[Jon Trickett]

I am not going to take any more interventions, because so many people want to speak.

So many people with houses that are thermally insulated, but who still remain in poverty, are excluded from that 3 million figure. A more accurate figure is one that only looks at whether a household is living in fuel poverty, and under that definition 8.9 million households in England alone are living in fuel poverty. If we say that there are two people in each household, we are talking about 17 million or 18 million people waking up in the morning in an unheated house, like I did living in the attic with my brother, with ice on the inside of the windows. That is unbearable to think about in one of the richest countries in the world.

Ill health is a direct consequence of inadequately heated houses. Whichever figure is used, between 10% and 20% of all excess winter deaths in England are caused by unheated or cold houses. That is a disgrace. One in four children living in a cold home suffer mental health problems, which does not surprise me when they are living in such conditions.

Let me turn quickly to the causes, which we could debate for a long time. It seems to me that there are two separate issues. One is the prices that energy companies charge, which are, frankly, driven by profits and greed, and the other is poor insultation. I will leave it to others to speak about the impact of uninsulated houses on the climate because I do not have time to say everything. On prices, it is a scandal that between 2022 and 2023 the price of energy increased by 27%, leaving almost a quarter of a million more households in fuel poverty.

The other day, when the Bank of England decided to cut interest rates by 0.25 percentage points, it commented that it expects inflation to increase because of rising energy prices. That is a disastrous position for so many people in our country, which will drive more into fuel poverty. I will quote Warm This Winter, the campaign group that represents 60 different charities. Its authoritative view on energy suppliers is that there is

“clearly an obscene level of profits being made”.

The whole energy industry needs to be looked at, from extraction through to providers. The End Fuel Poverty Coalition said:

“While consumers have suffered in cold damp homes this winter, energy firms’ boardrooms have been celebrating further bumper profits.”

I do not see how that is acceptable in a society that claims to be one of the richest in the world, but there we are.

Let me turn to the building stock itself. I am a builder by trade; I was a heating engineer and plumber and worked in the building industry. It is shocking, when there are still people with building skills out of work, that the building stock of our country is so poorly thermally insulated. Just over 40% of all residences—houses and flats—in Britain do not meet the Government’s minimum standards. The implications for the planet are clear, and others might want to talk about that.

The Government inherited a number of programmes trying to tackle fuel poverty. The previous Government had moved to providing smart meters. They are useful for consumers to see and control the amount of energy they are consuming, but they do not help to keep the house warm. That initiative by the Conservative Government distracted people from the real problem of low incomes and high energy costs, driven by profit-seeking.

There were three programmes in place. The energy company obligation required energy companies to begin to tackle the problem. That started well in 2020 with 113,000 houses, but by last year that number had gone down to 38,000. It collapsed when the energy companies, which were taking all that money from tenants and residents, failed to deliver. The second programme, the warm home discount, applies to only 11% of the population in England. Only 15% of all the houses that need attention have been fully insulated.

That is where we are today. I think it is a scandal. It is wrong morally, economically, financially—in any way we can imagine—that people who have worked all their lives and are now pensioners, who had a reasonable prospect of living a satisfactory life, are living in homes that are poorly heated. Children are living in poorly heated homes in which at least one adult is working on low pay—another problem is that bosses are increasingly paying low pay. Those houses ought not to be left in that condition. I hope the Minister will give us some confidence that we are going somewhere. It takes time for the Government to change direction, but we need to move fast.

Finally, let me pose three questions to the Minister, who I am pleased to see in her place. First, where are the Government going on fuel poverty—is it a high priority for them? Secondly, what is she going to do about the energy company obligation, which is failing? Finally, we often discuss the idea that the energy companies should have a social tariff for the lowest paid and those in the most difficulty. The country has decided that there should be a social tariff just for the internet—people living in difficult situations pay less for the internet—so it is extraordinary that we do not have one for energy production. I believe that there is a consultation on a social tariff ongoing, so will the Minister tell the House exactly where we are going on that?

There is much more to say, but quite a number of Members want to speak, so I will draw my comments to a conclusion.

--- Later in debate ---

[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.