New data powers target help to Britain’s coldest homes
The most vulnerable bill payers in the country could benefit from targeted support in an energy crisis under new measures that remove barriers to data sharing in government. The powers in the energy independence bill , recently laid before parliament, would allow officials to identify households in need and enable a more targeted payment for those struggling to heat their homes. Energy costs have spiked since the US and Israeli attacks on Iran earlier this year.
The price cap on energy bills is expected to rise by as much as 30% in January. E.ON, the energy provider, predicts an increase in the price cap of £492, which would take bills for an average household to more than £2,200 a year and represent the biggest rise in costs since January 2023. In the budget, the chancellor John Healey promised a £100 payment to 20m English households in council tax bands A to D, which will be transferred directly into people’s bank accounts to help with energy costs.
The payment will be matched by devolved governments in Scotland, Wales and Northern Ireland. Healey said the £2.6bn measure would “take the pressure off in the coldest months”, but he had been expected to make a more targeted intervention focused on poorer households. Fuel poverty campaigners said the £100 figure fell far short of what was needed to address the scale of hardship. Under measures in the bill, the government has enabled itself to make better use of data to back household support schemes.
Adam Bell, a partner and energy expert at consultancy PF Global, said: “The government has data on household income via the benefits and pension system, energy demand data via smart meters and health data via the NHS. Related articles: Palestine Action ready to go to European court of human rights if UK government upholds ban Opposition parties wrangle over power as president shows his hand “Properly targeting support at those with low incomes, draughty houses and/or health issues like respiratory conditions requires integrating all that data… By the time of the next crisis we’ll be able to do something cheaper and better targeted than giving £100 to everyone below a certain council tax band.”
The bill also includes provisions for a hydrogen power levy on electricity suppliers, to provide financial support to hydrogen-fired power stations. Fuel poverty campaigners have warned that this could add to bills. It also suggests an element of backtracking from moves to strip away levies from energy bills. What are your thoughts on this? Email us at letters@observer.co.uk Photograph by Jason Alden / Bloomberg via Getty Images Politics National Data Poverty Energy Energy bills
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