Associate feature: Tackling fuel poverty for older people in Scotland

The past year has rightly seen much reflection on 25 years of the Scottish Parliament. While everyone should be able to live in a warm home, unfortunately fuel poverty pre-dates the Scottish Parliament and still persists. 

Back in 2002, the rate of fuel poverty was 13%, falling from 35% in 1996. The following 20 years witnessed the reversal of this downward trend. Now, 31% of people in Scotland live in fuel poverty. 

While pensioners make up only 20% of the population, they account for 42% of the total households in fuel poverty, and just under half of those in extreme fuel poverty, having always been at the greatest risk. 

It would be far too simplistic to rest this record solely on the shoulders of the Scottish Parliament and Government. Indeed, successive sessions have seen the level of investment in energy performance schemes transformed, growing beyond all recognition since 2000, when only the Warm Deal delivering a £500 maximum energy efficiency grant existed.

Since then, we have witnessed a massive increase in public spending on energy efficiency schemes. Initially through the large-scale Central Heating Programme, and on through various iterations, to the current Area-Based Scheme, Warmer Homes Scotland and the Grants and Loans Scheme.  

The support available for older people among this has been significant and welcome. But there is still more to do to ensure no older person lives in a home they cannot afford to heat. Support must be adequate, suitable, and accessible for all pensioners at risk of fuel poverty.  

The UK Government must also act if we are to reduce fuel poverty in Scotland. The adequacy of incomes - specifically social security – is vital. 

Recent changes to winter payments brought many worried older people to our free helpline. One older person recently told us: “I’m terrified to put on the heating at the moment - so I put on a blanket”. This experience is far too common.  

At both Scottish and UK level, government must ensure there is adequate social security support for the more than 330,000 older households who are fuel poor in Scotland, this winter and beyond.  

Beyond energy efficiency and adequate incomes, the price of energy is also key. 
It’s perhaps no coincidence that it was in 2002 that fuel poverty rates started to rise. This is the year Ofgem lifted all remaining caps on energy prices. This was followed by a 70% real-terms increase in electricity prices by 2008, and a doubling of gas prices by 2014.  More recent surges in energy costs throughout 2022, despite the current Ofgem Price Cap, again pushed more people into fuel poverty.

Energy performance improvements – amid high prices – would clearly have muted impacts. Emphasising the need to ensure energy is affordable relative to incomes. It’s encouraging to see the Scottish Government and others looking to progress social tariffs for people on low incomes. 

The Fuel Poverty Act 2019, set a target of no more than 5% of households in fuel poverty by 2040 – with interim targets of 15% in 2030 and 10% in 2035. To meet these goals, action to address poverty amongst pensioners – who make up the biggest portion of the fuel poor – is essential. 

We need a strategic approach to tackling pensioner poverty to weave together activity across all relevant parts of government. It’s time for a Pensioner Poverty Strategy for Scotland – a cross-departmental roadmap – setting out the steps, timeframes and resources required to reduce poverty in later life. 

With action, it’s possible that in another 25 years as the Scottish Parliament turns 50, fuel poverty can be a thing of the past.   

This article is sponsored by Independent Age. 

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