This policy briefing highlights the positive steps that can be taken now by the UK Government and energy regulator Ofgem to respond to the current energy crisis and support vulnerable energy customers this winter. It is hoped that this will prompt policy interventions in advance of Ofgem announcing in February the next revision to the energy price cap.

This year’s UKFPM identifies the opportunities associated with decarbonising heat for fuel poor households; the barriers they face in doing so; the likely risks of the decarbonisation agenda for them; and which policy developments and interventions are required to ensure that the decarbonisation of domestic heating can be fair and affordable.

This guide is designed to be a practical and easy-to-use document that will help you identify the best solutions for householders in fuel poverty who are worried about keeping their homes warm and safe and paying their energy bills.

The COVID-19 outbreak has already had a significant impact on household finances, especially those that already struggle with the costs of essential services. But there is a bigger gathering storm. Existing debt issues within the water and energy sectors are being badly exacerbated by the current crisis, and whilst welcome, current provision is not adequate to deal with the scale of these challenges.

It is imperative that prepayment meter (PPM) customers continue to receive protection. The CMA stated in its initial ruling of the energy market investigation that PPM customers have higher actual and perceived barriers to switching that arise from both lack of internet connectivity and the need to physically change meter to switch to a wider range of tariffs.

The Warm Home Discount (WHD) scheme currently provides a payment of £140 (inclusive of VAT) towards energy bills, and also contains provisions to carry out projects to help low-income and vulnerable households to better afford their energy bill. The scheme was introduced by the Government in April 2011 and is an obligation on energy suppliers funded through bills.

The proposals made in this consultation will undoubtedly have a material affect on the number of customers that self-disconnect and self-ration. They are broadly in line with a number of suggestions that NEA made within our response to the preceding “Prepayment Self-Disconnection and Self-Rationing: A Call for Evidence”.

NEA engaged the University of Ulster to undertake research into the mental health and wellbeing impacts of fuel poverty and how energy efficiency measures can be used to combat them. A significant outcome from the research was it demonstrated to key stakeholders, including the Northern Ireland Assembly and the Public Health Agency that energy efficiency measures delivered alongside a managed network of support can assist fuel poor households and deliver improvements in health and wellbeing.