Steep rise in fuel poverty

Date published: 22 October 2009


MORE than 11,000 households in Oldham are living in fuel poverty — one in every eight homes across the borough.

Figures show 11,356 households (12.6 per cent) across the borough are classed as living in fuel poverty — meaning they have to spend more than 10 per cent of their income on fuel bills.

According to the Department of Energy and Climate Change, 5,313 households are in Oldham East and Saddleworth, and 4,858 are in Oldham West and Royton.

The remainder are in Hollinwood and Failsworth covered by the parliamentary constituency of Ashton.

The new figures, covering 2006, show a steep rise from the previous 2003 data which showed 5,700 households were struggling in Oldham.

Serious

Actual numbers of families suffering could be significantly higher given the massive increases in fuel prices last year.

Oldham West and Royton MP Michael Meacher believes the figure could be 18,000 homes, given the increase between 2003 and 2006.

He said: “If figures were increasing significantly in the boom years they will be increasing at a faster rate in the slump. This is a really serious problem. We need to look at more home insulation programmes. Not only will this help will fuel poverty but it will mean more jobs as it is labour intensive.”

Nationally, the overall number living in fuel poverty has reached five million households.

Energy and Climate Change Minister David Kidney said: “We recognise there is still a mountain to climb on fuel poverty because of significant increases in fuel bills and that’s why we’re determined to redouble our efforts.

“We will build on the measures we’ve already brought forward, including the £20 billion on benefits and programmes, without which 800,000 more people would have found themselves in fuel poverty.

“We plan to legislate to give new powers to the energy regulator to take action, make social tariffs mandatory not optional, and are planning new measures on energy efficiency targeted at the poorest.”

The figures come as spending watchdog the Audit Commission said winter fuel payments for pensioners are an unsustainable response to fuel poverty and should be reconsidered.

The Government’s £2.7 billion-a-year budget for winter fuel payments might be better spent on insulating, and modernising the homes of pensioners who cannot afford to heat them properly, the report said.