The Welsh Government set out its fuel poverty measures in a written statement published on 27 January 2025 by Jane Hutt, Cabinet Secretary for Social Justice, Trefnydd and Chief Whip1. The statement covers benefit take-up, crisis support, fuel voucher funding and the Warm Homes Nest scheme, and repeats calls for standing charge reform and a social tariff1.
On income, the statement says the latest media burst for the Claim What's Yours national benefits take-up campaign started in January and will run through to 31 March 20251. Between April 2023 and March 2024, Claim What's Yours advisers helped over 36,800 people with over 120,000 issues, of which over 9,600 concerned debt problems, and those helped were supported to claim over £10.4m in additional income1.
The statement lists several funding streams. The Discretionary Assistance Fund, described as a demand-led crisis fund for Welsh residents over 16 in financial crisis with no other means of support, has a budget of £38.5 million for 2024/251. Warm Hubs receive £1.5m1. On 15 November, a further £700,000 was announced for the Fuel Bank Foundation in Wales, bringing total investment this year to £1.2m, and since June 2022 more than £6.3 million has been allocated to enable the Foundation to run a national Fuel Voucher and Heat Fund scheme in Wales1. That scheme supports eligible households that pre-pay for fuel and are at risk of disconnection, including fuel vouchers for homes with prepayment meters and deliveries of oil or gas for those not connected to the mains gas network1.
More than £30 million is being invested this year in the new Warm Homes Nest scheme, the statement says, with eligible households receiving a bespoke package of measures to insulate and decarbonise their home, and free energy savings advice available to all householders in Wales1.
"I encourage Ofgem and the UK Government to act holistically across the policy landscape to reform standing charges, through measures such as a social tariff and equalising standing charges across the regions of Great Britain."
The statement says Hutt met energy suppliers in October, who confirmed their commitment to supporting householders struggling to pay bills, and met Ofgem's director of Consumer Protection and Retail Markets in December, where she called for a social tariff1. It says Ofgem is working with the UK Government on data targeting, and that she has written to the Minister for Energy and Consumers confirming Welsh Government support for this1. On standing charges, the statement says householders in South Wales and North Wales remain in the top three most expensive regions across Great Britain1.
| Measure | Figure given |
|---|---|
| Discretionary Assistance Fund budget, 2024/25 | £38.5 million1 |
| Warm Hubs funding | £1.5m1 |
| Fuel Bank Foundation, further announcement 15 November | £700,0001 |
| Fuel Bank Foundation total this year | £1.2m1 |
| Fuel Bank Foundation allocation since June 2022 | more than £6.3 million1 |
| Warm Homes Nest scheme, this year | more than £30 million1 |
| Additional income claimed by people helped, April 2023 to March 2024 | over £10.4m1 |
Why it matters for households
The statement sets out where Welsh Government money reaches homes directly. Fuel vouchers and oil or gas deliveries under the Fuel Bank Foundation scheme are aimed at households that pre-pay and face disconnection, a group whose energy independence is most exposed because supply can stop when credit runs out1. The Discretionary Assistance Fund is a crisis route for those with no other means of support1. The Warm Homes Nest scheme is described as the primary mechanism to tackle fuel poverty, with insulation and decarbonisation measures intended to lower bills1. Free energy savings advice is available to all householders in Wales, not only those eligible for measures1.
Standing charges matter because they are paid regardless of how much energy a home uses, so they bear hardest on low-consumption homes. The statement says South Wales and North Wales householders remain in the top three most expensive regions across Great Britain for these charges, and that Welsh Government has asked Ofgem and the UK Government to reform them and to equalise them across regions1. Decisions on standing charges, the price cap and any social tariff rest with Ofgem and the UK Government, not the Welsh Government1.
What happens next
The Claim What's Yours media burst runs through to 31 March 20251. The statement says Hutt will ask energy suppliers to report on how they have communicated available support to customers before their next meeting1. No date for that meeting is given1. The statement gives no timetable for Ofgem or UK Government decisions on standing charges or a social tariff1.