Citizens Advice Rochdale say current fuel crisis is ‘unlike anything we've seen’

Photo: Peter Byrne/PA Wire

The number of people in fuel poverty is set to jump by 50% overnight, a support group is warning.

The Rochdale Citizens Advice group say they have seen a 47% increase in people coming to them for problems in fuel debt.

And the service is warning that the rising cost of energy bills ‘is going to blow a hole in people’s finances’.

Households are facing huge rises in heating costs with the energy cap to rocket by 54 per cent on April 1.

The Chancellor Rishi Sunak has announced a £200 ‘rebate’ loan to be repaid over five years, coupled with a one-off £150 refund for council tax bands A-D.

However, with large council tax hikes coming in and inflation in excess of 5 per cent, those measures are likely to be dwarfed by the rise in bills.

Citizens Advice Rochdale said the scale of this crisis was ‘unlike anything’ they’d seen.

Communications and Engagement Manager Hayley Wright said: “Families are being squeezed from all sides by a cost of living crisis: high inflation, low benefit levels and soaring energy bills. A further hike of nearly £700 a year to energy bills this April is going to blow a hole in people’s finances

“Citizens Advice Rochdale is most worried about those on the lowest incomes - our advisers are already seeing people face desperate choices between heating and eating

“The energy price cap rise means we’ll all see our energy bills rocket in April. Worryingly, even before these price hikes kick in, we’re seeing record numbers of people needing crisis support like food vouchers.

“In April, the number of people in fuel poverty will increase by 50% overnight.”

The group helped 3,911 Rochdale residents with 15,522 issues last year.

The rise in fuel prices also coincides with the ongoing cost of living crisis.

Alongside rising food prices, the Bank of England has warned of a dramatic fall in living standards - with take-home pay suffering the biggest hit on record and inflation expected to top 7% in April.

Hayley added that the service had heard from people who are having to live and sleep in one room of their house because they can’t afford heating, parents who are skipping meals so they can make sure their children are fed, and people who are working but need to use food banks as they simply cannot cover their essential costs.

“The scale of this crisis is unlike anything we’ve seen, even in the pandemic,” Hayley said.

“Strikingly we’re helping more people with crisis support like food bank referrals and access to grants because they simply can’t pay the bills or put food on the table.”

The service welcomed the government support announced so far but said it did not go ‘far enough’.

Hayley said the service would like to see changes made to the benefits system to help low-income families through the crisis.

This includes a one-off payment through the benefits system to support people with sudden hikes in April, to increase benefits urgently by the rate of inflation and to look ahead to next winter by expanding and increasing the generosity of the Warm Home Discount.

But Hayley said Citizens Advice had a number of ways to support people through the current crisis.

“First of all, we’d say you’re not alone and there is support out there,” she said.

“We are pleased to have just won some grant money from round 13 of the Ofgen Energy Redress Scheme which will fund a dedicated energy advice worker in Rochdale - focused on supporting those living in the Private Rented Sector to live in a warm home.

“Those struggling to pay energy bills might be able to take advantage of certain benefits, grants and help offered by the government and energy suppliers.

“The important thing is to seek tailored support. We can support you face to face, by phone or through web chat. Contact us, and access advice online at www.casort.org.”