23 March 2006
Pensioners have been left out in the cold by Gordon Brown's failure to increase government help in paying their winter fuel bills, uSwitch.com has said.
The comparison and switching website said that the chancellor's decision to keep the Winter Fuel Allowance at the same level, revealed during yesterday's Budget announcement, has left many pensioners at risk of being unable to heat their homes properly in 2006.
It is the third year that the level of the allowance has gone unchanged.
Ann Robinson, director of consumer policy at uSwitch.com, outlined the reality of fuel poverty in the UK by claiming "83 people will have fallen into fuel poverty during the time it took the chancellor to boast about his economic achievements in today's Budget".
She explained: "Although higher energy prices have led to increased revenues for the Treasury from windfall taxes on North Sea Oil and Gas, Mr Brown has decided not to use any of this money to provide vulnerable customers with additional help in paying their bills."
The failure to raise the allowance meant that pensioners were having to cover more of their energy bill themselves.
"Since the last increase in the level of the Winter Fuel Allowance, energy prices have risen by 57% for gas and 42% for electricity," Ms Robinson said.
"Over the same period the percentage of a pensioner's typical bill covered by the Winter Fuel Allowance has fallen from 58% to 37% at today's prices. Furthermore, the winter death toll in 2005 was the highest for five years.
Looking to the future, she added: "Unfortunately, we are likely to see further price rises this year, and it is inevitable that the current total of 2.5 million households in fuel poverty will increase as a result.
"As things stand, the government is unlikely to meet its target of reducing the number of vulnerable households to 1.1 million by 2010, and eradicating fuel poverty by 2016."
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