National Grid targeting fuel poverty

More than 9,000 homes are set to benefit from the first payments from National Grid's £150 million Warm Homes Fund.

19th December 2017 by Networks

The fund was set up using part of the proceeds from the sale of the company’s majority stake in its gas distribution business. It will fund the installation of affordable heating solutions in fuel poor households which don’t use mains gas as their primary source of heat.

The £150m from National Grid comes on top of the £589m already being returned to consumers on a voluntary basis by the company, bringing the total announced this year to £739m.

Following the first round of bidding, a total of £33m is now being awarded to 35 local authorities and social landlords representing partnerships across England, Scotland and Wales.

The money will be used to provide new heating systems for homes and will also fund programmes to help people with health conditions living in fuel poor households.

The awards include £5m to Stroud District Council, £3.5m to Cornwall County Council, £2.8m to the councils of Suffolk and £1.5m to Orkney Islands Council. Others will help authorities targeting inner city fuel poverty. Greater Manchester Combined Authority will receive £1.8m and Islington, representing a consortium of boroughs will receive £1.5m. (List of successful bidders below).

John Pettigrew, chief executive of National Grid, said: “The aim of our new fund is threefold; to help to reduce bills, make fuel poor households warmer, and improve the health of people suffering the most severe levels of fuel poverty.

“Around 4.5 million households across the country are in fuel poverty with people not able to heat their homes enough to stay warm and healthy. Many are struggling on low incomes and are relying on heating systems that are expensive to run or don’t heat their homes properly. In many cases, because of their circumstances or the type of property they live in, they can’t apply for existing grant schemes.

“National Grid has decided to make this significant voluntary contribution of £150m to establish the Warm Homes Fund in recognition of the challenges that people face living in cold, damp and energy inefficient homes.”