THE CEO of one of the UK’s largest energy suppliers is urging the government to give financial assistance to support poor households amid in-depth studies into fuel poverty.
Bill Bullen, CEO of smart PAYG specialist Utilita Energy, says the hardest up households will need at least £593 of additional government support to stay warm and keep the lights on this winter.
This is based on Utilita analysis of smart meter data from more than 51,000 financially vulnerable households.
The call for urgent intervention is one of seven demands being made by Bullen to help millions of vulnerable households facing a bleak winter ahead.
The study analysed self-rationing and self-disconnection behaviours of 51,205 financially vulnerable households over the last two winters – before and during the energy crisis.
It examined changes in energy consumption levels against the rising cost of energy to identify the exact financial shortfall causing households to go without the energy they need.
It has been revealed that households experiencing the worst fuel poverty will need at least an extra £593 to afford the energy they need to maintain a safe and healthy heat, based on an expected £1,850 price cap on 1 October.
The additional support required would rise to £797 if the price cap increased to £2,500 in a worst-case scenario.
Utilita also revealed fuel poverty in England and Wales is affecting more households than the government and charities claim.
Fuel poverty charity, National Energy Action, calculated that 6.6m households in England and Wales will be in fuel poverty from 1st July 2023 – almost double the 3.7m households the government reported as being in fuel poverty last year.
“The Government must not allow one in three households to agonise about the winter ahead, with no guarantee of any financial assistance.” Bullen said.
“Low-income households are less resilient than ever and are already self-rationing both energy and food for fear of what’s ahead.
“Our data shows last winter’s £400 Energy Bill Support credits cut self-disconnections for Smart PAYG households by half – this winter they need to be at least £593.
“Anything less for these households – and the Department for Work and Pensions knows who they are – will be negligent and will leave the tab to be picked up by the NHS.”