Age UK responds to new DWP annual poverty statistics (April 2023-March 2024) and new DESNZ Fuel Poverty stats

Caroline Abrahams CBE, Charity Director at Age UK said: “Higher living costs, especially energy bills have hit every household, but we know that older people living on low or modest fixed incomes have found life especially hard.

“Today’s new figures show that – 1 in 6 or 1.9 million pensioners live in poverty, but it’s important to note that these official statistics are always reported a year behind – so before the loss of the Winter Fuel Payment for most pensioners which will have since made life even more difficult.

“The fine print also shows that the poorest pensioners were hit hard with the reduction in cost-of-living support in 2023/4.  For those in the bottom income quintile, the loss of the Energy Bills Support Scheme (£400) and Council Tax Rebate (£150) outweighed increases to benefits and the State Pension.  

"New fuel poverty statistics show that in 2024, around 9 million households of all ages in England spent more than 10% of income on energy, after housing costs - very similar to 2023 levels. Despite the ongoing financial pressures, recent research by Age UK found that three in five (59%) of those pensioners cutting back on heating or powering their home - equivalent to 2.9 million - would rather turn off their heating than get into energy debt keeping their home warm.  The Charity is hugely concerned by this, as it confirms what Age UK services are picking up via its national Advice Line and Age UK Network - that millions of older people prefer to ration their energy consumption rather than go into debt with their energy supplier.

“Looking ahead to next winter and others to come, more support is needed to give older people the confidence to run their heating when it gets cold, especially if they are on low and modest incomes, with a disability or renting. The fact that their energy costs are so much higher today than they were in the past has really spooked many older people and you can see why: if you are living on a tight fixed income there’s simply not the flex to keep paying more. It’s true that the triple lock is helping but our research demonstrates that it’s not enough on its own, some additional effective policy interventions are required. We are keen to work with the Government on what these could be and, more broadly, part two of the Government’s Pension Review, which is expected to consider pension adequacy, cannot get underway too soon.”