Question reference: S6W-16012
- Asked by: Mark Griffin, MSP for Central Scotland, Scottish Labour
- Date lodged: 20 March 2023 Registered interest
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Current status: Answered by Patrick Harvie on 23 March 2023
Question
To ask the Scottish Government what the Scottish Assessors Association's data deficiencies are that mean that it cannot pay Warm Home Discount direct to those who have the same circumstances as Core Group 2 in England and Wales, and what assessment it has undertaken of how to overcome those data deficiencies.
Answer
The Warm Home Discount is a rebate upon energy bills that large energy suppliers are obliged to provide, not a social security payment administered by the Scottish Government. Whilst some powers are provided to Scottish Ministers to design a separate Warm Home Discount scheme in Scotland, these require the consent of the UK Government.
All households in receipt of Pension Credit Guarantee Credit are automatically eligible for a WHD rebate in Scotland, England and Wales (Core Group 1). Households in England and Wales in receipt of low income benefits or tax credits (Core Group 2) are not automatically eligible for a WHD rebate. The UK Government further restricts eligibility for this group in England and Wales based upon data matching.
These low income households only receive a rebate if they also live in a property that is assumed to have low energy efficiency. The UK Government uses Council Tax data held by the Valuation Office Agency to estimate energy costs and uses this as a proxy for low energy efficiency. This approach reflects the definition of fuel poverty adopted by the UK Government in England (low income, low energy efficiency).
Scottish Ministers do not agree that energy efficiency is the main driver of fuel poverty. The Scottish Parliament has unanimously agreed a definition of fuel poverty that is not dependent upon the energy efficiency of people’s homes. The valuation roll data held by the Scottish Assessors Association is not relevant in establishing fuel poverty on this basis.
In 2021, Scottish Ministers formally proposed a more flexible, fairer and simpler fuel poverty scheme to replace the WHD scheme in Scotland. This would have provided an automatic rebate to vulnerable households across Scotland. We have also repeatedly pressed UK Ministers to increase funding for the WHD rebate to reflect the higher level of need in Scotland. UK Ministers did not agree to do so and continue to decide the total value and number of rebates provided. Nevertheless we remain willing to work with the UK Government to improve the help available to vulnerable families across Scotland.