The UK Government released new fuel poverty statistics for England on 24 February 2022, covering 2020. Under the Low Income Low Energy Efficiency (LILEE) metric, an estimated 13.2% of households, or 3.16 million, were in fuel poverty in 2020, down from 13.4% (3.18 million) in 20191.
The aggregate fuel poverty gap for England in 2020 was £705 million under LILEE, down 2.8% since 2019 (£726 million) in real terms. The average fuel poverty gap, described as the reduction in fuel costs needed for a household to not be in fuel poverty, was estimated at £223, down 2.3% since 2019 (£229)1.
National Energy Action (NEA), which works across England, Wales and Northern Ireland, said the data is two years out of date and does not capture recent increases in energy bills. The charity estimates the number of households in fuel poverty across the UK will rise to 6.5 million in April, an increase of more than 50% in just over six months. It said this estimate does not take account of the UK Government's planned £150 Council Tax relief in April or October's £200 "heat now pay later" rebate, and that if such support were enhanced and factored in, the figure would fall to 5.5 million1.
"Despite a long lag in the Government data for England; these new statistics do shine a light on a hugely alarming lack of progress to meet the UK Government's statutory fuel poverty commitments. By 2030 there should be no fuel poor households living in energy inefficient homes. But, based on current progress, instead of eight years, it will take over 60 years for that to happen."
The UK Government has a statutory target for all fuel poor households to reach Energy Performance Certificate (EPC) band C by 2030, and a non-statutory milestone of EPC D by 2025. NEA said over 180,000 of the poorest households in England are in the most expensive to heat homes1.
| Measure | 2019 | 2020 |
|---|---|---|
| Households in fuel poverty (LILEE) | 13.4% (3.18 million) | 13.2% (3.16 million) |
| Aggregate fuel poverty gap | £726 million | £705 million |
| Average fuel poverty gap | £229 | £223 |
NEA said the 2019 Conservative party manifesto committed £9.2bn to energy efficiency of homes, schools and hospitals in England, including £2.5bn for the Home Upgrade Grant Scheme, but that less than half has been committed to date. It also cited an expanded GB-wide Energy Company Obligation with 50% more funding than its predecessor, an expanded GB-wide Warm Home Discount with 33% more funding, and an extension to minimum energy efficiency standards in the private rented sector. NEA said ECO and Warm Home Discount were consulted on last summer but the Government has not released its response, despite the new schemes taking effect from April, and that the private rented sector extension was first committed to over five years ago1.
Why it matters for households
The headline rate fell slightly, but the figures describe 2020, before the recent bill increases, and the fuel poverty rate in England is measured differently from NEA's own estimates, which is one reason the two sets of numbers diverge1. For a household, the practical measure is the gap: the average £223 is the amount by which fuel costs would need to fall for a fuel poor home to leave fuel poverty1. NEA said energy bills could soon reach up to £2,000 per year for the average household, and up to £3,000 for those in the least efficient homes if heated to a healthy or reasonable level1. That links the issue directly to how fuel poverty is measured and to the energy performance of the home itself, since the statutory targets are set in EPC bands rather than on bills alone1.
What happens next
The expanded Energy Company Obligation and Warm Home Discount take effect from April, but the Government's response to last summer's consultation had not been released at the time of the statistics1. The extension of minimum energy efficiency standards to the private rented sector remains outstanding1. NEA's April estimate of 6.5 million UK households in fuel poverty is a projection, not an official statistic, and the next official figures will again lag behind current prices1.