PM unveils £1bn energy help package (From Haringey Independent)

PM unveils £1bn energy help package

3:25pm Thursday 11th September 2008 in

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Gordon Brown has unveiled a £1 billion package to help struggling households cope with soaring energy prices, promising it would be funded by suppliers and producers.

The Prime Minister announced that all low income and pensioner households would get free loft and cavity insulation, while everybody else would be entitled to half-price energy-saving measures.

He said there would be "immediate help for those who need it most" but stressed that the moves were focused on reducing energy consumption.

"Our objective is nothing less than a sea-change in energy efficiency and consumption, at the same time as helping the most vulnerable households this winter," he told a Downing Street press conference.

Mr Brown said the Government would be legislating to ensure that energy suppliers and electricity producers would provide £910 million in funding for the measures.

The premier said provision had been made to give six million homes insulation and provide help for five million more between now and 2011. There would also be action to ensure that households on pre-payment meters do not face higher tariffs.

He said 600,000 low income households will also have lower social tariffs by the end of the year.

In the event of "severe" weather this winter, cold weather payments will increase from £8.50 to £25 a week.

Ministers were also meeting banks to increase the take-up of direct debits to pay energy bills and make savings of between £100 to £150 a year.

A national information campaign will be launched on Friday to publicise the support on offer.