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Daily Record
Daily Record
National
Kathryn Anderson

Perthshire politicians call for vulnerable residents to get support as gas prices soar

As gas prices soar to an all-time high Perthshire politicians are calling for vulnerable citizens to get support.

Last week independent energy regulator Ofgem announced a 54 per cent energy price cap increase on April 1 with some household energy bills set to rise by around £700 a year.

A local MP has written to the UK's business secretary urging action while a Perth councillor is encouraging those eligible to apply for the Home Heating Support Fund.

The increase will affect approximately 22 million UK customers.

An Ofgem statement said: "Those on default tariffs paying by direct debit will see an increase of £693 from £1277 to £1971 per year (difference due to rounding). Prepayment customers will see an increase of £708 from £1309 to £2017."

Ofgem said the massive hike was due to an "unprecedented" rise in global gas prices over the last six months. Wholesale gas prices are said to have quadrupled in the last year.

Ofgem's chief executive Jonathan Brearley said: "We know this rise will be extremely worrying for many people, especially those who are struggling to make ends meet, and Ofgem will ensure energy companies support their customers in any way they can.

"The energy market has faced a huge challenge due to the unprecedented increase in global gas prices, a once in a 30-year event, and Ofgem’s role as energy regulator is to ensure that, under the price cap, energy companies can only charge a fair price based on the true cost of supplying electricity and gas.

"Ofgem is working to stabilise the market and over the longer term to diversify our sources of energy which will help protect customers from similar price shocks in the future."

Ochil and South Perthshire MP John Nicolson has written to Kwasi Kwarteng - the secretary of state for business, energy and industrial strategy - after receiving "a considerable volume of correspondence" from worried constituents.

One 77-year-old had been "left with little choice but to agree to an 18/24 month deal with his utility company" as he "struggled to find more affordable alternatives". Another Ochil and South Perthshire resident called for a "fairer system of energy pricing".

John Nicolson MP has written to the UK business secretary requesting help for vulnerable people (Perthshire Advertiser)

In his letter Mr Nicolson asked the UK business secretary to "take the necessary action to support vulnerable people".

He asked Kwasi Kwarteng to "look again at this issue and consider introducing an emergency package of support, including a low-income energy payment, matching the Scottish Child Payment across the UK".

A UK Government spokesperson told the Local Democracy Reporting Service: "Households in Scotland can benefit from £200 discount on energy bills this autumn, along with additional Barnett funding for the Scottish Government as a result of the council tax energy rebate in England.

"We urge the Scottish Government to use the extra £290 million they will receive to cut council tax for many Scots to further reduce the cost of living."

The UK Government's energy bills rebate will give domestic electricity customers a £200 discount off their bills this autumn. The Department of Business, Energy and Industrial Strategy has said it will work closely with industry and consumer groups on how best to deliver the rebate and will consult in the spring.

The UK Government has put £12 billion of support in place for this financial year and next - this includes the Warm Homes Discount being expanded by almost a third. The UK Government said this will see working families on Universal Credit receive an average of £1,000 more per year.

The UK Government has said the move towards net-zero and away from fossil fuels will protect UK households from similar rises in the longer term.

Meanwhile Perth City Centre Lib Dem councillor Peter Barrett is urging eligible residents to apply for the Home Heating Support Fund. The Scottish Government fund - launched earlier this year - is administered by Advice Direct Scotland.

Cllr Barrett said: "I would urge everyone feeling the pinch to apply.

"The Home Heating Support Fund is open until March 31. It is designed to prevent households falling into fuel poverty and help those ‘rationing’ their energy use."

He added: "Before the price cap was lifted almost a third of households were already rationing their energy use. This fund could be vital in helping people who have been hit the hardest to continue to heat their homes and feed their families.

“I want to ensure that families in Perth and Kinross struggling with their energy bills get the maximum benefit from the fund which offers payments which start at £100 rising to £500 to clear outstanding debt. Clearing gas and electricity debts can make a huge difference to people’s mental health and well-being. There is extra support available for households where one person is over 75, or they rely on electric heating, or live in a remote community.”

Cllr Barrett urged anyone struggling to pay energy bills to seek support from the fund through PKC's Welfare Advice team by phoning 01738 476900 or by contacting Advice Direct Scotland for free on 0808 800 9060 or online at www.advice.scot

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