Energy Bills: Self-disconnection

Roger Gale Excerpts

Wednesday 25th January 2023 Commons Chamber

[Graham Stuart]

I thank my hon. Friend for his kind words. We are absolutely focused on that, and we all have a role to play in increasing awareness of the vouchers, which are so valuable to people. We want to see more being redeemed, and the numbers are going up consistently. We have published the list of suppliers and we have already brought them together so that they can share best practice. I wanted to publish the list so that it could be seen not only by the House but by the suppliers’ chief executive officers, who I hope will talk to their teams about why they are lower down the list. If all of them, all of us in this House and everyone in the voluntary and other sectors and in local authorities do everything possible to raise awareness, we can lift the number of people who get that help, to which they are entitled.

[Mr Deputy Speaker (Sir Roger Gale)]

I call the Opposition Front-Bench spokesperson.

[Dr Alan Whitehead (Southampton, Test) (Lab)]

One way or another, there are more than 3 million households on prepayment meters. With the rapid rise in prices and the continuing energy crisis, they are now all at risk of unseen disconnection, because they simply cannot afford the huge bills and constant meter top-ups they are facing. Energy companies know this, and they do not want to be saddled with account customers in distress, so we have seen 500,000 warrants obtained, particularly over the last year—18% up on previous numbers—to drive customers in trouble with their accounts into forcibly having prepayment meters installed in their homes, whether they want them or not. Customer disconnection is then not the problem for the energy company or the Government thereafter. For most customers, the energy companies can simply change the supply of smart meters from credit to prepay without a warrant being issued.

What are the Government doing about all this? Polite letters are not enough. Will the Minister now enforce measures to ensure that the energy companies stop issuing warrants and switching smart meters to prepay mode while prices remain high and the energy crisis continues? What are the Government actively doing to seek out and help those who have self-disconnected and are now energy destitute?

The Government have said, and will no doubt say again today, that help is on its way in the form of Government support for energy bills, yet precisely the customers most likely to self-disconnect are getting much less help than they should. As the Minister has said, 30% of the vouchers available to customers on prepayment meters remain unclaimed, for a variety of reasons. And the alternative help scheme devised for those who indirectly pay their bill, whether they live in park homes, communal buildings or district heating schemes, has simply not arrived. It was expected in December and then January, but we now hear it will not be active until the end of February—five months after account customers started to get assistance.

What are the Government doing to ensure that vouchers get through and are claimed by prepay customers, and that barriers to claiming are overcome? Why is the alternative help scheme so consistently delayed? Do the Government just not care about help for those living in park homes and other tenures, or are they incompetent in organising that help in a timely way?

--- Later in debate ---

[Graham Stuart]

My hon. Friend is right that identifying the location of park homes might sound relatively simple, and I hope I have made it clear that there are levels of complexity that have to be dealt with. We are doing everything possible to ensure this is done as quickly as possible. Because of council tax bills, this is the busiest time of year for the local authority staff who deal with this. We must have a system that stands up, is robust and delivers on time.

As might be expected, I pushed back in every way possible to see if we could open the portal in January, but we could not do so without risking the confidence and support of those local authorities. We will make sure that we have it in place and that we deliver it in the right way.

For months, my hon. Friend has rightly made sure that my focus has remained on this issue by reminding me of her constituents and their need for this help.

[Mr Deputy Speaker (Sir Roger Gale)]

I call the SNP spokesperson.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

Come April, 8.4 million households will be in fuel poverty—that is almost a third of all households—and talk of capping average bills at £2,500 or £3,000 a year means nothing to people who cannot afford to pay their bill or top up their meter. People on prepayment meters are penalised with higher standing charges, so those who either choose or are forced into not using energy build up debt from these standing charges. Imagine getting into debt despite not using energy.

These people are more likely to have disabilities or suffer ill health. They are more likely to die prematurely and to have mental health issues due to the struggles of daily life. I do not know what their life is like, and I know for a fact that the Government cannot claim to understand what their life is like. We now need a proper social tariff and a further energy bill support package as a priority.

Much more needs to be done to ensure the vouchers are redeemed, rather than the Government just asking the companies to publish data and urging them to do more. The Government need to put in place a temporary ban on the forced installation of prepayment meters. Is it not a disgrace that energy-rich Scotland’s Union dividend is people who are unable to turn on their gas when Scotland is a net exporter of gas?