From The Metro:
Winter fuel payments for pensioners are an "unsustainable" response to fuel poverty and should be reconsidered, a report has said.
The Government's £2.7 billion-a-year budget for winter fuel payments might be better spent on lagging, insulating, reglazing and modernising the homes of pensioners who cannot afford to heat them properly, suggested the local government spending watchdog.
The Audit Commission said only 12% of people receiving the payments - worth up to £400 a year - are classed as being in fuel poverty. And it said that the payments do nothing to encourage energy efficiency and reduce the CO2 emissions blamed for global warming.
That appears to be half a step in the right direction, but as I said a day or two ago:
"If you increase taxes on [domestic fuel]... then home insulation becomes more attractive anyway by comparison, and if they scrapped all this loony 'extra investment in renewables' as well, then there'd be plenty of extra money for cutting vehicle excise duty, increasing the tax-free personal allowance or old age pensions so that the average user is no worse off..."
At present, the Winter Fuel Voucher is just extra State Pension. It's a bit of a gimmick (which not just add £4 to the weekly basic state pension and have done with it?) but hey. But if they stop paying it, and spend the money on insulating pensioners' homes, who would benefit more? A granny in an ex-council flat, which has neither cellar nor loft-space to be insulated; or another granny living in a three-bed semi?
If you accept MMGW as a given, then the Audit Commission's suggestion seems sensible. But if you are like me, and you neither believe in MMGW nor do you believe in subsidies (whether to the home-insulation industry or to owners of larger homes), the Winter Fuel Vouchers actually make far more sense.
Christmas Day: readings for Year C
10 hours ago
12 comments:
The pension top-up is probably a much better idea. You can bet that "spending money on home improvements" would include a whole load of quangos buying lots of government ads and spending money at Simple Shopper levels of efficiency. At least if you give grannies the cash, they'll buy the lagging from B&Q, get their son to come around to install it and have some left over to buy some doilies, Daniel O'Donnell CDs and copies of the People's Friend.
My old man has just started receiving his state pension. He was already rolling in it more than he ever has been in his life, now he's really laughing.
Matthew Parris explained it all in the Times, a long while back.
1) We have a very very cold winter. Pensioners are cold and the government makes a one-off payment to help them heat their homes.
2) We have a very cold winter. Pensioners are cold and the government makes a one-off payment to help them heat their homes.
3) After a few years, the payment is made every winter.
4) Someone suggests adding to the basic pension to save administration costs.
5) This is done.
6) See (1).
Brian, follower of Deornoth
OC, exactly.
S_L, fair play to him, those are the rules.
BFOD, you missed (7) After Global Warming kicks on, the govt. pays pensioners an extra £200 in summer to cover the cost of air-conditioning; and (8) FakeCharities are set up to help combat "warmth poverty".
I hope that they don't get rid of it too quickly...
We, pre-emptively, drank mine to celebrate my 60th! :-)
I spent my first £200 seven years ago on a sky+ box.
The pension top-up is probably a much better idea. You can bet that "spending money on home improvements" would include a whole load of quangos buying lots of government ads and spending money at Simple Shopper levels of efficiency.
It's really seems very nice scheme.
Insulating is a good idea though. It saves a hell of a lot.
I spent my first £200 seven years ago on a sky+ box. thanks for this nice post.
JH, if insulating is a good idea (and it is in many cases) then people will do it anyway, see OC's comment above.
I agree with the most above by Russell Brunson, the pension top up is the way to go.
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