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Gordon Lishman‚ Director General of Age Concern‚ said:

“This winter could be very bleak for about one in three pensioner households which are currently fuel poor‚ and further possible energy price hikes in the new-year could push hundreds of thousands more pensioners into fuel poverty.

“Both the energy companies and the Government need to take radical action to make energy prices affordable for the poorest pensioners and other households.

“The current pricing system is failing the poorest customers‚ many of whom are disgracefully having to pay more for their energy than wealthier households. Price differences for pre-payment customers and those who pay by cash and cheque should be banned‚ and social tariffs must be made fit for purpose‚ to ensure the poorest households get the cheapest energy rates.”

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Notes to editors

Age Concern’s calls to the Government:

• The Government’s fuel poverty strategy should be urgently revised‚ with new policies and measures announced as soon as possible.
• Mandatory social tariffs for vulnerable households‚ which offer the lowest market rate‚ must be made compulsory.
• A commitment to recycle the £400 million in extra VAT revenue the Government is receiving from fuel price increases to fund measures to help those in fuel poverty.
• The Warm Front programme should be urgently reviewed‚ with funding immediately increased by at least 25% and the maximum grant available under the scheme increased significantly.
• The Winter Fuel Payment should be permanently increased to reflect unprecedented energy price increases in recent years.
• The Government should use statutory powers to abolish unfair pre-payment meter premiums.