This briefing compares the state of the UK housing stock and fuel poverty levels with 15 other European countries. It concludes that no other country of the 16 assessed performed as poorly overall as the UK across the range of indicators. The UK has among the highest rates of fuel poverty and one of the most energy inefficient housing stocks in Europe.

• Despite the fact that it has amongst the lowest energy prices, the UK ranks very poorly in terms of the affordability of space heating and fuel poverty, ranking 14th out of 16 on both indicators.
• It is the poor state of our housing stock that is the main cause of these problems. In terms of households reporting that their home is in a poor state of repair, the UK ranks 12th out of 16.
• In terms of energy efficiency, out of 11 countries for which data is available, the UK’s walls are ranked 7th, roofs are ranked 8th, floors are ranked 10th and windows are ranked 11th.

The key results are shown in the table below. The latest official European data are used for this briefing, and the UK’s performance compared to our previous assessment two years ago.
Added to this year’s update is an analysis of the homes that seem to be dragging the UK’s rankings down. There are 26 million households in the UK and 21 million with a poor level of energy efficiency (Band D, E, F and G on an Energy Performance Certificate). The energy efficiency of all these homes has to be raised. The average energy efficiency of a UK home is Band D which is not high enough to protect households from fuel poverty.

The least energy efficient homes in England

In this report we use the latest English Housing Survey to analyse those homes in England that are least energy efficient, with a worse than average energy rating (worse than D on the A to G scale). In England, approximately one third of homes – 6.6 million – are rated E, F or G.

The average required energy expenditure across the housing stock is £1,210. In E-rated homes, it is £1,640, in F-rated homes, it is £2,140, and in G-rated homes, it is £2,670, over twice the national average. Using Energy Performance Certificate data for England up to October 2012, the English constituencies with the highest proportions of E, F and G-rated properties are shown below. A full list of English constituencies and how they perform is available in the report.

Our housing is infrastructure and the UK’s is in a very poor condition, resulting in high levels of fuel poverty and unaffordable energy bills. The solution to this crisis is for the UK Government to designate home energy efficiency as an infrastructure priority and use infrastructure funds to deliver the stable, long-term investment needed to implement a locally-led infrastructure programme to upgrade all UK homes up to Band C on an Energy Performance Certificate.

• Political spin a ‘cover up’ for 80% decrease in help to make  cold homes more energy efficient
• 4 million poor families left out in the cold with no support in next decade
• Energy Bill Revolution demands that the next Government makes home energy efficiency the UK’s priority infrastructure spending priority

February 3, 2015 (London): Inefficient and unambitious Government programmes have resulted in a dramatic 80% decrease in help available for those with freezing homes.

Fuel poor households will  be some of the worst hit, with the number of major energy efficiency delivered dropping from 112,000 in the winter of 2011/12 to a mere 22,000 this winter, a new report has revealed.  The big drop occurred after the introduction of two new energy efficiency programmes, the Green Deal and the Energy Company Obligation.

The research by the Association for the Conservation of Energy, commissioned by The Energy Bill Revolution, the world’s largest anti-fuel poverty campaign group found that, at current rates, less that 30% of 6 million poorly insulated low income homes will receive energy efficiency support in the next decade.

In the context of a growing political debate regarding the best way to cut energy bills, this briefing shows that a family could be wasting around 41% of their gas every year if they live in a typical fuel poor home, due to a low standard of energy efficiency. They could save 41% of their gas costs each year by installing energy efficiency measures. There are over 6.7 million homes in England (one in three) which have very poor levels of energy efficiency, representing an E, F or G rating on an Energy Performance Certificate. In England, 1.41 million fuel poor homes (more than half) fall into this category.

If a family turn their heating on at the start of October, then that 41% saving is the equivalent of all their gas costs from the 14th of February until the next October. If they installed efficiency measures, it would be like having free heating and hot water from the 14th of February onwards. We could say that everything they spend on gas after that date is wasted money – so the 14th of February is ‘Burning Cash Day’.

The savings from energy efficiency vary between different homes, so every home has its own Burning Cash Day. Even in a home which has an average level of energy efficiency (including at least some loft and cavity wall insulation) the family could still save 25% of their gas bill, through additional measures. This means that Burning Cash Day for this typical home is the 22nd of March.

The Energy Bill Revolution campaign is calling for major Government investment to provide energy efficiency measures for free for people in fuel poverty, and to provide subsidies for everyone else. It is proposed that this is paid for by recycling revenues from two carbon taxes that are paid by consumers – the European Emissions Trading Scheme and the Carbon Price Floor. Over the next 15 years the Government will raise an average of £4 billion every year in carbon taxes; this is enough revenue to insulate to a high degree an average of 600,000 fuel poor homes every year. In time, every household could benefit, and see major reductions in their energy bills.

Fuel poverty is a major social crisis in the UK. There are over five million households in fuel poverty needing to spend more than 10% of their income on energy in order to keep warm. This number will increase significantly if gas prices rise as the Government expects.

This fact-file compares fuel poverty and energy efficiency in the UK to 15 other European countries with comparable levels of prosperity and heating need. It ranks these countries against six key indicators for which consistent and recent European data are available to assess the energy efficiency of the UK’s homes. The UK is ranked lowest for energy (or fuel) poverty out of 13 western European countries and near the bottom of the other league tables on affordability of space heating (14 out of 15), share of household expenditure spent on energy (11 out of 13), homes in poor state of repair (11 out of 15), thermal performance (6 out of 8), and the gap between current thermal performance and what the optimal level of insulation should be in each country (7 out of 8). Overall, no other country of the 16 assessed performs as poorly as the UK across the range of indicators.

It is widely recognised that fuel poverty has severe effects on some of the most vulnerable people in society. However, while attention has focussed on older people in fuel poverty, families and children have been relatively neglected.

Channel 4 © 2013

Until now, the scale of the problem for families has been poorly understood. Some evidence comes from a Barnardo’s survey in which over 90 per cent of their staff said they worked with families in fuel debt. To pay their energy bills, many families were cutting back on essentials such as heating and food.

It is clear that fuel poverty can have severe and life-long effects on children. Studies show that long-term exposure to a cold home can affect weight gain in babies and young children, increase hospital admission rates for children and increase the severity and frequency of asthmatic symptoms. Children in cold homes are more than twice as likely to suffer from breathing problems, and those in damp and mouldy homes are up to three times more likely to suffer from coughing, wheezing and respiratory illness, compared to those with warm, dry homes.

What’s more, struggling with high energy bills can impact adversely on the mental health of family members. Fuel poverty may even affect children’s education, if health problems keep them off school, or a cold home means there is no warm, separate room to do their homework.

It is vital that we understand the problem of fuel poverty for parents and children, and that future policies provide the support that these vulnerable families urgently need. This fact-file, prepared with the support of the Energy Bill Revolution, Barnado’s and Save the Children, provides a snapshot of families and (dependent) children in fuel poverty at the start of this year. It provides high-level estimates for the UK, England and the Devolved Nations. It then goes on to explore the nature and composition of fuel poverty amongst families and children, specifically in England. The fact-file and other resources can be downloaded below.

Government slashes support for fuel poor

The Government has significantly reduced the financial support it gives the fuel poor, according to a new report released today.

The ACE report is the first time the Government’s fuel poverty budget has been analysed in depth by experts outside Government. It finds that the money received by the fuel poor in England has been cut by 26% between 2009 and 2013, taking into account all the Government’s new policies.

It also finds that the budget for energy efficiency measures for the fuel poor in England has been cut by 44%. This has raised particular concern because energy efficiency improvements are considered the best long term solution to end fuel poverty. ACE estimates that the number of energy efficiency measures being installed in the homes of the fuel poor in England will fall from 150,000 in 2009 to 100,000 in 2013.

The report was commissioned by the Energy Bill Revolution campaign, the biggest fuel poverty alliance ever formed in the UK. It is made up of over 100 leading charities, consumer groups, businesses and unions calling for carbon tax revenue to be used to make the homes of the fuel poor super energy efficient.

The campaign calculates that there is enough carbon revenue to end fuel poverty and in time help make every UK home highly energy efficient. The Government will raise over £2 billion in carbon tax revenue in 2013 with consumers each paying an average of £25 on their electricity bill. By 2020 the Government will raise £4 billion in carbon tax with consumers paying an average of £54.

Ed Matthew, Director of the Energy Bill Revolution alliance campaign said:

“The fuel poor face a triple whammy. The fuel poverty budget has been slashed, the entire cost of new low carbon power has been put on household energy bills whilst Chancellor Osborne has pocketed every penny of carbon tax. This is despite the fact there is enough carbon tax revenue to end fuel poverty forever. That is a toxic combination which will bring untold misery to millions of households across the UK.”

Jenny Holland, Head of Parliamentary Team at ACE said:

“Instead of tackling the blight of fuel poverty, the Government has spent far too long twiddling its thumbs: two and a half years reviewing how fuel poverty is defined while at the same time drastically eroding budgets to tackle the problem. The Government must now urgently recycle carbon tax to make the homes of the fuel poor highly energy efficient. No household should have to choose between heating and eating. It’s time to end this national scandal.”

ACE and EBR (2012 11) Reduced fuel poverty budgets in England briefing 

A new campaign to help households reduce their energy bills and make their homes warmer has been launched by ACE and others.

The Energy Bill Revolution Campaign calls on Government to invest the money it receives from carbon taxes into improving the energy efficiency of our homes.

From 2013 Government will receive a huge increase in revenue fom two key carbon taxes – the sale of allowances in the EU Emissions Trading Scheme and the new Carbon Floor Price. Research commissioned by the Campaign has calculated these revenues will be on average £4bn a year.

If invested in energy efficiency in the housing stock, this money could remove 9 out of 10 households from fuel poverty, it could produce four times the carbon savings achieved by Green Deal and Energy Company Obligation together and could create between 30,000 and 50,000 direct jobs and up to 200,000 indirect jobs in the wider economy.

Please join the coalition and support the campaign by signing our petition today.