Energy White Paper In Tatters As Beckett Denies Fuel Efficiency Cuts

12.00.00am GMT Thu 6th Mar 2003

Environment Secretary Margaret Beckett has denied reports from contractors of a planned 15% cut in the Warm Front scheme which provides energy efficiency grants for the poorest 2 million households.

The Fuel Poverty Advisory Group, an independent body set up by the Government has said this week that spending on fuel poverty needed to be increased by 50 per cent to meet the target in the Energy white paper.

Reacting to questions from Vince Cable MP, Liberal Democrat Shadow DTI Secretary, Margaret Beckett did not deny Lord Whitty's admission on Monday that DEFRA had encountered "budgetary difficulties" with this programme, saying only that formal "funding decisions have not been made".

Mr. Cable said: "With contractors being asked to plan for cuts, it's clear that the budget will be slashed yet this is the second Minister to refuse to confirm this to the House in under a fortnight."

"With Fuel poverty blighting so many, to suggest that cuts are alright because Warm Front is ahead of target is breathtaking".

"The ink in the energy White Paper is barely dry, but the Government's commitments already seem tattered"

ENDS

See Notes to Editors

Notes to Editors

Patricia Hewitt was caught out denying the cuts in Parliament last month in direct contrast to reports from the Director of the Association of Energy Conservation who confirmed that contractors had been asked to prepare for the 15% cut.

Extract from debate on Government's Energy White paper, Hansard 24 February 2003:

Ms Hewitt: ……As for energy efficiency, I must warn him-leaks or no leaks-not to believe everything that he reads in the press. The warm homes programme has already been a considerable success. No decision has yet been made on the next stage of its funding, but I stress again-as I did in my statement-the importance of the energy efficiency commitment, and our intention to extend and increase it. Indeed, we shall also consult on its possible extension to the business sector, to ensure that the benefits already brought to the domestic sector are extended to business.

Letter to the Guardian from the Director of the Association of Energy Conservation, 27/02/03

"My euphoria at the prominence given to improving fuel efficiency in our homes in the new energy policy is tempered by news received from our members contracted to carry out the government's energy improvement scheme for low-income housing. They have just been asked to prepare plans based upon a 15% reduction in budgets across England from next April.

Andrew Warren, Director, Association for the Conservation of Energy"