About Fuel Poverty
Fuel poverty is not having enough money to cover your basic needs for energy, due to incomes being too low and energy prices too high – both symptoms of a rigged economy.
The causes of fuel poverty
Fuel poverty is caused by low incomes, high fuel prices, poor energy efficiency and poor quality housing.
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The impacts of fuel poverty
Thousands of people die every year due to cold and damp homes – an average of 7,400 each winter over the past decade.
Millions living in Fuel Poverty
To most of us, being in fuel poverty means being unable to afford to heat (or cool) our homes to an adequate temperature.
Too commonly, even people who are old, ill, or have young children, are forced to choose between heating and eating, and may not put their heating on at all over the winter. Many households struggle to put money on their prepayment meter cards or keys and are forced to “self-disconnect”, leaving them in the dark, as well as cold.
The UK has the worst levels of fuel poverty in Northern Europe, with associated high rates of ill-health and winter deaths. Those most affected include pensioners, young children, disabled people, the sick and ill, students and others on low incomes.
The official definition of fuel poverty is not so simple, and it has been changed recently in a way that covers up what is going on.
Fuel poverty on the rise
On 1st January 2025, 6.1 million UK households were in fuel poverty, up from 4.5 million in October 2021. This is according to the definition still used in Scotland, Wales and Northern Ireland, whereby fuel poverty means having to spend more than 10% of your income (after housing costs) on domestic energy, with the remaining household income being insufficient to maintain an adequate standard of living.
In England, the Government has adopted the Low Income, Low Energy Efficiency (LILEE) measure, which considers people to be fuel poor if they live in property with an Energy Performance rating of band D or below, and if, when they spend the required amount to heat their home, they are left with an income below the official poverty line.
This conveniently more than halves the numbers, by declaring that you cannot be in fuel poverty if your home has an Energy Performance Certificate (EPC) of C or above (which excludes 53% of low income households). This narrow definition massively undercounts the number of people who are unable to afford their energy bills, ignoring the well known flaws in the EPC system as well as the huge impact of high prices on poor households.
Fuel poverty is most common in homes that rely entirely on electricity, due to the fact that electricity costs four times as much as gas. Electric-only homes make up a high proportion of the million homes in ‘energy starvation’ – where residents’ energy usage is under a quarter of the average. The 2021 Census found that 367,000 British homes lack any form of central heating, but this figure is also misleading as it actually excludes electric-only households, most of which don’t have central heating either.
Ending fuel poverty in the UK is achievable.
It will be solved through:
- Reform of the energy market
- A nationwide, street-by-street programme to fix up our homes
- A secure, renewables-led, energy system
See Energy For All for details!
Fuel poverty is not having enough money to cover your basic needs for energy, due to incomes being too low and energy prices too high – both symptoms of a rigged economy.
Being able to eat properly and heat my home so I’m not in pain, and cool my home … to a lot of people it’s normal. To me it’s like a beautiful dream. I’m very proud of the work we’ve done with FPA.
Holly Donovan, FPA member and Branch Secretary, Unite Community Northampton
News and updates
Read article: Energy For All Petition Hand-in
Energy For All Petition Hand-in
On October 1st 2024, the day our energy bills went up AGAIN, we delivered the Energy For All petition, signed by over 662,500 of you, to the door of Number 10. Meanwhile, Fuel Poverty Action members across the country went on the radio and social media to spread the word about Energy For All. On […]
Read article: The problem with means testing
The problem with means testing
No one can say it’s ok for thousands of people to die every year from fuel poverty. But lots of people say that instead of Energy For All, the government should subsidise energy prices for people on low incomes. They say this would target help where it is needed most, on people without the means […]
Read article: April 17, 2025: Make your union work for you
April 17, 2025: Make your union work for you
A discussion on trade unions, for union members: a chance to share your experiences of unions, hear from trade unionists with decades of experience between them, and ask them anything, days before May Day.
Read more about April 17, 2025: Make your union work for you
