In the UK 55% of people over the age of 80 are currently living alone, and for those living off the average annual state pension (£9,110), 12% of their income is spent on heating the house.
As fear mounts around the cost of energy bills as the days continue to get darker and colder, this demographic is at the greatest risk of fuel poverty this winter - especially now that lockdown is to continue into December.
Fuel poverty in England is measured using the Low Income High Costs (LIHC) indicator - where a household is considered to be fuel poor if: they either have required fuel costs that are above average (the national median level) or were they to spend that amount, they would be left with a residual income below the official poverty line.
There are three important elements in determining whether a household is fuel poor; household income, household energy requirements and fuel prices. Statistics estimate that the average household fuel bill costs £1163 a year, for those on the government pension that 12% is a significant portion of their budget – adding to the rise of fuel poverty.
Friday 27 November will mark Fuel Poverty Awareness Day 2020 – with six million people reportedly behind on at least one household bill during the pandemic, according to the Citizens Advice Bureau, representing £1.6 billion of arrears – 2.8 million of which is energy.
On 14 th October this year, the UK Government confirmed that the Warm Home Discount (WHD) energy rebate scheme, which was due to end in March 2021, has now been extended for a year, ensuring the most vulnerable pensioners receive energy rebates automatically.
Although fuel poverty will have the biggest impact on the elderly this lockdown, they are not the only demographic at risk. Data from Quotezone.co.uk shows that 42% of unemployed people are currently living alone, creating huge challenges for them to continue to heat their homes adequately across the festive season. These findings are based on a sample of over 350,000 home insurance policies collated over the last two years - analysed to reveal the country's highest concentrations of single person households.
Founder and CEO of Quotezone.co.uk, one of the UK’s largest comparison sites including energy comparison, comments: “Fuel poverty is a very real risk for millions of households this winter, but heating your home really isn’t optional. A surprisingly large number of households are paying more to heat their homes than they have to, particularly if they’re stuck on a standard energy tariff.
“Some providers have been known to automatically upgrade you to a more expensive tariff as soon as your contract expires, so it’s important to check your bills and put key dates in your diary. If switching proves to be your best option it is easily done with one phone call to your new supplier – they deal with the entire process on your behalf.
“Comparison sites are a great way to help you gather information – they can give you an overview of what’s on offer across multiple suppliers instantly – from just one quote form.”
Customers can also help keep their bills down by applying some of these energy savers:
- Locate any drafts and seal them with excluders and thicker curtains
- Use ‘eco’ settings for washing machines and dishwashers
- Upgrade old appliances (if possible, invest in double glazing)
- Use LED bulbs
- Unplug unneeded appliances
- And register your interest for a smart meter.
This winter Quotezone.co.uk will be donating £15,000 across three UK charities – one of which is Age UK, a leading UK charity that works hard to support older communities with issues such as fuel poverty.
