Coventry charity calls for reduction in energy bills ahead of Winter
More than 1000 people a month seek support from Coventry Citizens Advice for fuel poverty
Demand on fuel poverty support in Coventry is growing year on year, according to a local charity.
This week, Ofgem lowered the energy price cap by 7%, meaning the average home is expected to spend £83 on energy this month, compared with £127 in June.
However, analysts have said they expect the price cap to increase in October by almost 10%, before dropping again in January 2025.
Jon Perry, Chief Executive for Coventry Citizens Advice, says the reduction now will be unhelpful ahead of the winter months.
He said: “For some of our clients, at risk or in fuel poverty, the price cap will be a huge benefit. We are talking a substantial £10 a week to people who are finding it difficult to buy essential items. Any reduction in utility costs makes a huge difference to a huge number of people we see, and it's really welcome.
“On the flip side, we are seeing a 7% reduction just as we're going into the time of year when the least energy is being used - with a prediction that there'll be a 10% bounce back at the time people will start to need their fuel much more. So, if one was being cynical, you might say that it's not as beneficial as it might be for some of the most deprived clients that we have. The actions could have been designed and timed to be more beneficial.”
Jon continued: “You might say that the reduction now is going to be doubly unhelpful because it means people will be used to being able to spend more money on things, like food. And then the increase in utilities in October, when people will be used to having that cash, I think will be much more noticeable.
“Then the knock-on effect for people's mental health is huge, for their children's well-being, school attendance - all of the knock-on effects are hugely significant. We're talking about £10 or £20 but for people living on the margins, that is huge amount, and it makes a massive difference. So, I think people will really notice going into the winter. Since we've come out of lockdown, we have seen a dramatic increase in people presenting with debt problems and often those are aligned to a fuel poverty and risk of fuel poverty.”
The charity is urging those in need of support to get in touch.