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Dept of the Environment Transport and the Regions

Answer

Mr. Paul Marsden: To ask the Secretary of State for the Environment, Transport and the Regions (1) how many council homes in Shrewsbury and Atcham will benefit from home energy efficiency measures by the end of this year; and if he will make a statement; [131157] (2) how many households will be helped out of fuel poverty by 2002 through energy-efficiency schemes in Shrewsbury and Atcham. [131137] Mr. Meacher: The Government have introduced a wide range of programmes to tackle poor energy efficiency, one of the main causes of fuel poverty. These are as follows. From 1 June, the Home Energy Efficiency Scheme provides grants of up to £2,000 for comprehensive packages of insulation and heating improvements. The scheme is aimed at those households which are most vulnerable to cold-related ill health: older people and families on low incomes, and the disabled and chronically sick. HEES has a budget of £275 million for the first two years, which is expected to help some 460,000 households. The scheme is focused on the private sector where nearly 70 per cent. of the fuel poor in England are found. However, limited funds will still be available for social housing in the first two years. We have released substantial additional funds to help improve our housing stock; in total some £5 billion is being made available over the lifetime of this Parliament for investment in housing. Most of the additional resources are going to local authorities and will be spent according to the needs and priorities identified in their housing strategy. We estimate that around one third of the money is likely to lead directly or indirectly to improvements in energy efficiency. Government funded programmes operated by the Energy Saving Trust improve the energy efficiency of both fuel poor households and others. In addition, some of the Government funded regeneration schemes will help to improve home energy efficiency in specific areas. To support the installation of energy efficiency measures, from 1 July 1998 the Government have reduced VAT from 17.5 per cent. to 5 per cent. for the installation of energy efficiency materials through Government funded grant schemes such as HEES. The Spring 2000 budget extended the reduced rate of VAT of 5 per cent. to include the installation of energy saving material in "all" homes and the installation of heating measures through Government funded grant schemes. The Government are also introducing provisions to enable lessors to claim capital allowances on their investment in boilers, radiators and controls installed in residential properties under the Affordable Warmth Programme. The Programme will operate from 2000 to 2007, with the aim of helping up to 1 million low income households, primarily in the social sector, benefit from improved energy efficiency. In addition to Government energy efficiency programmes, since 1994, public electricity suppliers have, under the Energy Efficiency Standards of Performance, been required to encourage and assist customers with energy efficiency measures. The new Director General of the Office of Gas and Electricity Markets has, from this year extended these to also include public gas suppliers and the overall size of the programme has been doubled to £50 million a year. 65 per cent. of this expenditure will be allocated to low income households. Under the Home Energy Conservation Act (HECA) 1995, local authorities with housing responsibilities were required to prepare, publish and submit to the Secretary of State an energy conservation report identifying energy conservation measures considered to be practicable, cost-effective and likely to result in a significant improvement in the energy efficiency of all residential accommodation in their area. In England, authorities are now reporting annually on the progress being made in implementing the measures identified. Furthermore, we have now asked local authorities to report on their policies and achievements specifically in combating fuel poverty, at the same time as they submit their HECA progress reports. The next HECA progress report from local authorities is due by 31 July 2000. The energy conservation report prepared by Shrewsbury and Atcham Borough Council, and their most recent progress report, should be available from the Council.

Secondary information

Type

Written question

Reference

354 c206-8W; 131157;131137

Session

1999-00

Subjects

Conservation Council housing Finance Energy Grants Fuel poverty Housing improvement Insulation Heating Warm front scheme Local government Standards VAT Shrewsbury

Link

View this Written question on www.publications.parliament.uk