32,000 Portsmouth Pensioners face winter fuel payment “wipe out” as their bills go up £7 million - MP

18/01/2008

Portsmouth South MP, Mike Hancock is calling on the Government to protect pensioners in Portsmouth from energy price rises. This follows figures obtained by the Liberal Democrats from the House of Commons Library showing that recent increases in the cost of electricity and gas are set to wipe out pensioners’ winter fuel payment.

The average price rise for a pensioner household over 3 years since 2005 and taking into account recently announced pay rises is £260 for gas and £160 for electricity - £420 in total against a winter fuel payment of £200 or for £300 for over-80s. It means pensioners in Portsmouth will face between them a whopping estimated extra £7 million in energy costs. The bill for pensioners in the city goes up from £10.2 million three years ago to £17 million when the latest price rises are taken into account.

Mike Hancock said: “Elderly and disabled people are hardest hit by the fuel price hikes, which more than wipe out the value of the Winter Fuel Payment. There are, according to the last census, approximately 32,000 pensioners in Portsmouth. The recent fuel cost rises will put them in a financially difficult position.

The Government must do far more to combat fuel poverty. The top priority must be to end the scandal where pensioners are paying a fortune to heat draughty houses where a lot of the heat is simply wasted. Many older people are currently paying to heat the great outdoors in addition to their own home. This is a waste of scarce cash and also makes no sense for the environment. In many other European countries with much colder weather, household energy bills are lower because homes are better insulated and heating is more energy-efficient. The Government needs to get its act together and make sure that our pensioners don't have to make a choice between heating and eating on cold winter days."