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4 July 2006

THE BATTLE AGAINST FUEL POVERTY GOES ON - HANSON

Funding of £120 million this year alone is evidence of Government's commitment to beat fuel poverty, David Hanson MP said today.

The Social Development Minister was speaking at the launch of the first annual report of the Inter Departmental Group on Fuel Poverty which he established last year to co-ordinate efforts across all the Government Departments and Agencies. He said: "There can be few areas where a joined-up approach to a problem is more import than the battle against fuel poverty. The recommendations made in this and future reports will also be taken into account when implementing our plans for the coming year.

"In excess of £120 million will be directed towards schemes and programmes that directly contribute to the eradication of fuel poverty in the current financial year. In addition, almost £4 billion will be paid out in programmes to increase household income through programmes such as the social security benefits system and the single farm payments process. Other programmes aimed at improving job creation and addressing poverty generally will also make a significant contribution to the fight against fuel poverty.

"We are already making a significant impact on the problem of fuel poverty. The latest House Condition Survey showed a reduction in the number of households in fuel poverty from 33% in 2001 to 24% in 2004."

The Minister acknowledged that the impact of measures to reduce fuel poverty has been reduced by recent fuel price rises and that this may have forced many homes back into fuel poverty. He continued:

"However, our action plan for the next 12 months will fight on the three fronts which contribute to fuel poverty - energy inefficiency, low incomes and high fuel costs. Our very successful Warm Homes Scheme will continue and other initiatives such as the Skills and Science and Children and Young People Funding Packages, which were launched by the Secretary of State earlier in the year will also play a pivotal role in helping to improve the life chances of the next generation.

"The Environment and Renewable Energy Funding Package will assist the development of renewable energy technologies and will, among other things, provide around 1,200 fuel poor homes with free solar panels, leading to reduced fuel bills and a warm and comfortable home. He also pointed to the proposed exemptions from the new domestic rating system and the development of the water charges affordability tariff as further examples of Government's awareness of the needs to assist vulnerable groups."

NOTES TO EDITORS:

1. Fuel poverty is caused by a combination of factors including the need for heat, low household income, high fuel costs or the use of expensive fuel types and poor energy efficiency.

2. Fuel poverty is the situation in which a household would have to spend more than 10% of its income on fuel to maintain an acceptable level of temperature throughout the home.

3. For more information or to register on the Warm Homes Scheme, please contact EAGA Partnership on Freephone - 0800 181 667.

4. Copies of both the Inter Departmental Group report and the Fuel Poverty Advisory Group report are available from DSD Housing Division, Tel: 028 9081 9511 or website www.dsdni.gov.uk


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