Ofgem has opened a Call for Input on the subject, which will close on 13 May 2024. This briefing highlights National Energy Action’s emerging views on what Ofgem and government can do to tackle affordability and still-rising debt levels.

The UK Fuel Poverty Monitor report from National Energy Action (NEA) and Energy Action Scotland (EAS) sets out the urgent priorities for tackling fuel poverty in England and across the UK. 

Utility networks are responsible for ensuring that communities have access to safe and efficient utility (gas, electricity, water and communications) supplies. As the utility networks prepare for a challenging energy systems transition, a comprehensive and consistent approach to ensuring community resilience will be required to safeguard vulnerable individuals and communities.

National Energy Action’s key proposals: 1. Deliver on the commitment to consult on a new mandated social tariff from April 2024 2. Address a growing mountain of debt in the energy sector through a ‘help to repay’ scheme 3. Provide additional funding to upgrade the homes of fuel poor households, alongside effective regulations in the PRS

National Energy Action has consistently advocated for payment premiums to be eliminated in the energy market. Historically, our focus has been on the premium faced by prepayment users, which before the pandemic, was the larger differential.

National Energy Action has consistently advocated for payment premiums to be eliminated in the energy market. Historically, our focus has been on the premium faced by prepayment users, which before the pandemic, was the larger differential.

NEA is pleased that the government and Ofgem are consulting on the establishment of consumer protection requirements for heat network consumers. We recognise the importance and potential for growth of heat networks in providing local, low carbon heat sources for households.

NEA is concerned about the record levels of debt and arrears in the market, recently reaching £2.6bn. This figure demonstrates that an increasing number of households are struggling to afford their ongoing costs of energy and are falling behind. With the majority of the £2.6bn figure coming from arrears, there is a clear need for energy suppliers to ensure that affordable repayment arrangements are being created.

The transition to net zero in Wales will be crucial to ensuring homes are warm and safe, mitigating climate change, and to achieving Welsh fuel poverty targets.