§ Mrs. GilroyTo ask the Secretary of State for the Environment, Transport and the Regions if he will make a statement on the contribution of his Department towards eliminating fuel poverty. [103185]
§ Mr. MeacherThe Home Energy Efficiency Scheme (HEES) provides grants for energy efficiency improvements in the homes of people on benefits, the disabled and the over-60s. On 29 September 1999 the Deputy Prime Minister announced that the scheme is being radically improved. The New Home Energy Efficiency Scheme (New HEES) will provide complete packages of insulation and heating improvements up to a maximum grant of £2,000, compared to the current maximum of £315. Installations will start in June 2000. In the first two years New HEES is expected to help 460,000 households at a cost of £260 million. These households should be substantially moved away from fuel poverty.
We have also 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. We estimate that around one third of the money is likely to lead directly or indirectly to improvements in energy efficiency.
The Government have introduced a wide range of programmes to tackle low income and poor energy efficiency, which are the main causes of fuel poverty, as well as the liberalisation of the energy markets which has lead to significant falls in the cost of keeping warm. An inter-ministerial group, chaired jointly by the Minister for Energy and my noble Friend the Parliamentary Under-Secretary of State, has been set up to consider the impact of all these initiatives on fuel poverty. The group will seek to develop a more accurate picture of the extent of the problem, how quickly it can be addressed, and at what cost, so that a target date can be set for the elimination of fuel poverty in England.
Some of the policy initiatives in this area, such as the Home Energy Efficiency Scheme, are devolved functions. Therefore a target date for Scotland, Wales and Northern Ireland would be a matter for the respective bodies.