Lisa Greenfield, Confused.com energy analyst says: “The news that the government is considering slashing cold weather payments from £25 to £8.50 is a fresh blow to vulnerable people in the wake of the ONS report which suggests there has been an increase in fuel poverty and what started as a lifeline for society’s most at risk in winter will become an empty government gesture with no real value.
Energy prices have risen due to the increase in the cost of wholesale energy, and investments needed in the industry. This coupled with the recession and the resulting unemployment epidemic, has left more households than ever in fuel poverty. Even those who have remained employed are likely to find it difficult to cope with the sharp hikes. Half a million more households were in fuel poverty in 2008 compared to 2007, representing about 18% of households in the UK.
If the government goes ahead with its plans then a lot of households could be literally left out in the cold this winter, but the good news is there are real actions people can take to reduce their bills and keep warm. Confused.com offers these top tips:
- Consider insulation measure, those falling into the vulnerable category are eligible for subsidies or may even be able to get necessary renovations done for free.
- Reduce drafts and use traditional methods to keep warm before reaching for the heating, hot water bottles and draft excluders can be invaluable to fighting the chill.
- Shopping around is the quickest, simplest route to moneysaving, paying by direct debit and making sure you are on the best tariff for your circumstances can make big savings that will relieve the financial pressure.
