Fuel Poverty
Fuel poverty is a major issue in Northern Ireland. Click on the links below for more information.
Fuel Poverty in Northern Ireland
Who is affected by fuel poverty?
What is being done to tackle fuel poverty?
What is the Consumer Council doing?
Help with paying to heat your home
What is fuel poverty?
The usual definition of a fuel poor household is one that needs to spend more than 10% of its income on fuel to obtain a satisfactory level of heating - that is, 20ºC in the living room and 18ºC in other occupied rooms. Essentially fuel poverty means not being able to keep your home adequately warm at a reasonable cost. It is generally caused by a combination of four factors:
- Poor household energy efficiency
- Low income
- Expensive fuel costs
- Under-occupancy: on average those in the most extreme fuel poverty live in larger than average homes
Fuel Poverty in Northern Ireland
Although there was a decrease in energy prices at the beginning of 2009 and again in Autumn 2009, Department of Social Development Official’s believe that around 50 per cent of households in Northern Ireland are now in fuel poverty.
The rate of fuel poverty in Northern Ireland is almost three times that of England and more than a third more than that of Scotland and Wales.[1]
Who is affected by fuel poverty?
Fuel poverty can have serious implications on the health and well being of vulnerable groups such as the elderly, children and people living with disabilities or chronic illness. The vast majority of households in fuel poverty are owner occupied properties.
These groups are particularly vulnerable to the effects of fuel poverty for a variety of reasons including that they:
- Are likely to be at home for more of the day;
- Are more vulnerable to the health impacts of cold homes, such as respiratory illnesses;
- Are more likely to suffer secondary impacts of fuel poverty. For example impacts on education - Children may not be able to do their homework in a cold room, so they may have to work in the living room where they have to compete with the TV and other distractions.
Older people - between 2004 and 2006 about 12 per cent of deaths of people aged 65 and over were associated with cold temperatures in the home.
People with disabilities - according to Leonard Cheshire’s 2005 report, ‘In the Balance, disabled people’s experiences of debt’, cutting back on essential items like food or fuel, can be particularly damaging for a disabled person who may experience particularly negative effects from not eating properly or being unable to afford sufficient fuel to keep the house warm. For example a cold and damp house can make a disabled persons medical condition worse.
Young people - a 2008 report for Save the Children shows that the impacts of fuel poverty on young people range from increased hospital admissions for infants, more respiratory problems for children and increased anti-social behaviour amongst adolescents.
People with cancer - a recent Macmillan Cancer Support survey found that one in five cancer patients turn the heating off even though they are cold, because they're worried about rising fuel bills.
What is being done to tackle fuel poverty?
Dealing with fuel poverty has been identified as an important issue by Government. ‘Ending Fuel Poverty – A Strategy for Northern Ireland’ published by the Department of Social Development (DSD) in 2004, states the Government’s intent to eradicate fuel poverty in vulnerable households by 2010 and in all households by 2016.
The Consumer Council is greatly concerned that Government will miss these targets, as the reality is that the number of households in fuel poverty has continued to rise due to the volatile nature of wholesale fuel prices. Current energy prices are simply too high for those on very low incomes to be able to secure all their heat and power for less than 10 per cent of their disposable incomes.
Action to tackle fuel poverty
Action on fuel poverty has been mainly focused on improving energy efficiency in homes.
The Northern Ireland Housing Executive has a programme to replace inefficient coal heating systems with natural gas, or oil, in the homes that it owns and manages. The Housing Executive also provides grants for owners of private properties to improve energy efficiency.
The Warm Homes scheme, is funded by the Department for Social Development and it provides grants to people who want to make their home more energy efficient. These grants cover measures like loft insulation or replacement heating systems. Information on where to get more details and how to apply for grants is available below.
What is the Consumer Council doing?
The Consumer Council represents consumers' interests and sits on both the Fuel Poverty Advisory Group and the Home Energy Conservation Authority panel.
We undertake research and lobby on behalf of the consumer to try to ensure that energy policy takes account of consumers and the effects of fuel poverty.
In addition, we have a statutory responsibility to represent consumers during electricity and gas price reviews and will maintain pressure on energy companies to reduce prices wherever possible.
Help with paying to heat your home
Help is available for consumers to reduce their energy costs and make the most of their income:
- Benefits/Tax Credits
Millions of pounds in benefits/tax credits go unclaimed in Northern Ireland every year. Consumers should check to see that they are receiving the correct level of benefits/tax credits, by contacting their local Social Security Agency/Tax Credit Office, or by speaking to Advice NI or Citizens Advice Bureau to check what benefits they are entitled to.
More Information on Tax Credits can be found by contacting the Tax Credit Helpline on Tel 0845 300 3900.
- Energy Efficiency
Energy efficiency does not have to be expensive and it can help save you money in the long term. A single payment, for example to fit loft insulation, will give you ongoing savings all year, every year . For more information contact the Energy Saving Trust on 0800 512 012.
- Switch Payment Methods
Electricity and gas suppliers offer consumers a variety of ways to pay. For example you can pay weekly or quarterly by direct debit, or Pay As You Go. Some payment methods may offer you a discount. Contact your natural gas or electricity supplier for additional information.
- Warm Homes Grants
The Warm Homes scheme gives people a grant of up to £850 for insulation measures and up to £4,300 to fit heating and insulation measures to help make their homes warmer and more energy efficient. The scheme is aimed at people who own their own home and people who rent their homes from private landlords. It is available to people on qualifying benefits.
Consumers should contact Warm Homes on 0800 181 667 to see if they are eligible.
For further information about Warm Homes and other grants that may be available, consumers can contact the Energy Savings Trust on 0800 512 012 or visit the website at www.energysavingtrust.org.uk.
- Winter Fuel Payments
The Winter Fuel Payment is an annual payment to help people aged over 60 with their fuel costs. For winter 2009-10, the Winter Fuel Payment is £250 for people aged over 60 and £400 for people over 80. Contact the Winter Fuel Helpline on 08459 15 15 15 (0845 601 5613 for textphone users) or visit the website www.dsdni.gov.uk to find out if you are eligible and to get a claim form.
Useful Links:
Advice NI - www.adviceni.net
Citizen Advice Bureau - www.citizensadvice.org.uk
Northern Ireland Energy Agency www.nienergyagency.org
Bryson Charitable Group www.brysongroup.org
National Energy Action www.nea.org.uk
Age Sector Platform www.agesectorplatform.org
Barnardos www.barnardos.org.uk
Macmillan Cancer Support www.macmillan.org.uk
Age Concern/ Help the Aged www.ageconcern.org.uk
NI Housing Executive www.nihe.gov.uk
Warm Homes Scheme www.warm-homes.com
[1]Home Energy Conservation Report 2008.
[2]Home Energy Conservation Report 2008.
[3]Home Energy Conservation Report 2008.
[4]NIE Energy increased by 14% in May 2008, 33.3% in October 2008 and decreased by 10.8% in January 2009.
[5]Phoenix Supply (natural gas) increased by 28% in May 2008, 19.2% in October 2008 and decreased by 22.1% in January 2009. Firmus energy (natural gas) increased by 20.7% in February 2009.
[6]In 2006, 34% of Northern Ireland households were in fuel poverty compared to 12% in England- Home Energy Conservation Report 2008.
[7]All figures in ‘who is affected by fuel poverty’ section are from Home Energy Conservation Report 2008.
[8]Morris, C. Fuel Poverty, Climate and Mortality in Northern Ireland 1980-2006- NISRA Occasional Paper: 25. Belfast: Department for Social Development:2007
[9]The impact of Fuel Poverty on Children, (Save the Children, Dec 2008). Professor Christine Liddell. University of Ulster.
[10]Tackling Fuel Poverty- The Interdepartmental Group’s Third Annual Report 2008
