Government must put it right as households may lose out on energy plans – SNP

The SNP has said the UK Government “must put it right” after it confirmed vulnerable households “may lose out” in the move from standing charge to unit rate recovery in energy pricing.

Proposed changes by the Labour Party would mean standing charges are scrapped and replaced with higher unit prices on gas bills.

The UK Labour Government said in response to a written question from the SNP that “the Government recognises that there may be some low-income, or otherwise vulnerable households who have unavoidably high gas usage who may lose out from the move from standing charge to unit rate recovery”.

The response also said that the UK Government “will set out targeted mitigation for these households in due course.”

However, SNP depute leader Keith Brown said: “This is an outrage and Scottish voters deserve to know the truth.

“The UK Labour Government has just admitted they will inflict low-income and vulnerable households with even higher energy bills thanks to their standing charges policy.

“Make no mistake, those in colder climates like Scotland will pay more to subsidise lower costs in warmer climates down south – up to a million Scots are set to pay more.

“It’s welcome the Labour Government has admitted it so now they must put it right, but instead the Chancellor has ruled out any further support this winter.”

Scotland, because of its colder climate, has the highest average domestic gas consumption in Britain, and a household in Scotland uses about 1,129 more kWh annually than one in England.

Forecasts suggest that energy bills could also rise by 27% in January.

Mr Brown continued: “Energy-rich Scots are braced for a harsh winter with bill-payers here once again carrying the can to ensure that those in England pay less.

“There is a very simple injustice that Scots know all too well. Scotland produces the vast majority of oil and gas in the UK, and more than a third of renewable energy generation, yet under Westminster control we are forced to pay the highest energy bills in Europe, an injustice to which Westminster has no answer.

“Scottish voters were told the Labour Party would cut energy bills by £300.

“It is now on them to explain why bills will soon be more than £1,000 higher than promised and why they have just asked those hit hardest in Scotland to pay even more to subsidise other parts of the UK.

“This is a national scandal that can only be addressed through a fresh start with independence – when we put Scotland’s energy in Scotland’s hands and put our vast resources to work for our people.”

A Department for Energy Security and Net Zero spokesperson said: “Tackling the affordability crisis is this Government’s number one priority – the action we have taken to remove gas standing charges will give consumers greater control over their energy bills.

“We are also providing funding for the Scottish Government to replicate the £100 energy payment we are delivering in England to give families breathing space.”