1 in 5 UK families can't afford heating, new survey reveals

Nearly one in five UK households with children have had to endure cold because they can't afford the bills, a new YouGov poll for Save the Children UK has revealed.

Tuesday 5 February 2008

The YouGov poll revealed 19% of adults with children aged 17 or under have suffered from cold homes because of the cost of energy. 15% of households have cut back on food, and the same proportion has had to cut back on essential clothing in order to pay fuel bills.

The problem is severe among the least well-off - 44% of families living on incomes of less than £15,000 per year reported suffering from cold because of high energy prices.

One reason the UK's poorest families are hit hardest is because many rely on prepayment meters to heat their homes - which cost significantly more than paying fuel bills by Direct Debit.

"Fuel poverty is an outrage, particularly for children," said Phillipa Hunt, UK Poverty Spokesperson at Save the Children. "It means that they are experiencing the effects of cold on a daily basis. Children find it more difficult to do their homework in a cold home, and are more likely to suffer ill health.

"The government is well behind schedule in its promise of halving child poverty by 2010 and ending it by 2020," she said. "To achieve the 2010 target the government needs to invest £4 billion to help the poorest families. As part of the Campaign to End Child Poverty, we are calling on the government to use this Budget to invest a significant proportion of this money.

"Save the Children is also campaigning for seasonal grants, in winter and in the summer, of £100 per child for the poorest families," she continued. "This would help relieve the increased costs at these expensive times of year."

Pre-pay vs. Direct Debit

Research also reveals a major reason why so many households with the lowest incomes are unable to heat their homes properly - the poorest pay more for energy.

In comparison with the cost of paying for electricity and gas with a pre-payment meter, and paying for it by online Direct Debit, it was found that on average pre-pay meters are 26% more expensive: an extra £215 every year.

The worst offender is British Gas. For electricity it charges 58% more for pre-pay compared with online Direct Debit - £159 more on average per year. For gas, pre-pay customers are charged 47% more compared with their online Direct Debit customers - £228 more every year for the average customer.

"We know that less well-off families are much more likely to use pre-pay meters, because it gives them the flexibility to plan a weekly budget," said Phillipa Hunt. "So by charging more for using pre-pay meters, energy companies are in fact penalising those families and children who are least able to pay."

"We want energy companies to bring their pre-pay charges in line with the cost of online Direct Debit.

"The government also needs to play its part. It should use the new Energy Bill to enforce minimum standards of social tariffs, so that people on low incomes are paying as little as possible for their energy," Ms Hunt added.

What you can do

  • Take action for the families of the 3.8 million children in the UK living in poverty. Ask the Chancellor, Alistair Darling to make child poverty the priority in the budget.
  • Read more about our campaign to end UK child poverty. 


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