Fuel poverty

Fuel poverty means being unable to afford to keep warm. We consider a household to be in fuel poverty if it needs to spend more than 10 percent of its income on fuel for adequate heating (usually 21 degrees for the main living area, and 18 degrees for other occupied rooms).

Living in cold homes can damage people’s health and affect their quality of life. The elderly, children, and those with a disability or long-term illness are especially vulnerable.

There are three main causes of fuel poverty:

  • Poor energy efficiency in the home
  • High energy prices
  • Low household income

Warm Home Discount Scheme

The Warm Home Discount Scheme is a four-year scheme that runs from April 2011 to March 2015 to help low-income and vulnerable households with energy costs. The scheme will be worth up to £1.1bn over the next four years and we expect around 2 million low-income and vulnerable households will be assisted annually. The funding will come from the participating energy suppliers.


Green Deal and Energy Company Obligation (ECO) consultation

The Green Deal and Energy Company Obligation consultation closed on 18 January 2012.


Hills Fuel Poverty Review

At the Spending Review in October 2010 the Government announced it would commission an independent review to take a fresh look at the fuel poverty target and definition. The Government wishes to focus its available resources where they will be most effective in tackling the problems underlying fuel poverty.

The final report was published on 15 March 2012.

More information and the final report and press notice can be found on the Hills Fuel Poverty Review web page. 

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