Agenda item

MOTION ON NOTICE - ENERGY COSTS

To consider a motion on notice submitted by Councillors Young and Penny.

Minutes:

During this item, two declarations of interest were made. Councillor Young declared an “other interest” as defined in Section 2 of the Councillors Code of Conduct, in view of her role as the Chair of Trustees at the Morecambe Bay Foodbank. Councillor Whitaker declared an “other interest” as a volunteer and member of Eggcup Food Club.

 

This council recognises that households are facing increased energy costs due to the recent increase of the energy price cap and its imminent extension in April 2022. 

 

With bills set to increase as much as 57%, we understand that many residents may find it extremely difficult to meet their energy costs. For those on the lowest incomes, this may lead to a choice between heating and eating.

 

To demonstrate what is already happening, on 12th January 2022, the Morecambe Bay Foodbank received two calls in a single morning from distressed residents who were unable to pay their bills, and were seeking help with emergency food as a result. Charities in our area including Citizens Advice, Eggcup, The Morecambe Bay Foodbank and the Morecambe Bay Credit Union are all seriously concerned about how vulnerable people will be able to manage their money in the coming months, especially due to the recent cut to Universal Credit and the impending end of the Household Support Grant in March 2022.

 

This Council calls on the government to take action to help those who are likely to suffer as a result of these price rises. Specifically this council will write to the Secretary of State for Communities and Levelling Up to ask, along with Citizens Advice, that

·                      An "Energy Support Grant" should be delivered through the benefits system to provide a much needed £300 (as recommended by the Resolution Foundation) to help with fuel costs, paid to all Universal Credit and Legacy Benefit and pension credit claimants in April 2022.

·                      The benefits increase due in April 2022 is based on the IFS (Institute of Fiscal Studies) recommendation of 6% rather than the planned rise of 3.1% to more accurately reflect the cost of living

·                      The Warm Homes Discount should be extended to channel money directly to those that need it most, enabling them to heat their homes in Winter 2022, when prices are due to soar further

·                      The cost of supplier failures should be spread over two or three years to reduce the cost and provide relief to consumers in the short term.”

The motion was accompanied by a briefing note drafted by officers. This provided some local background information.

 

Councillor Young replied to a number of questions from Councillors. Debate then followed.

 

At the conclusion of the debate the Mayor called for a vote was taken and the motion was clearly carried with 47 Members voting in favour, none against and five abstentions.

 

Resolved:-

 

This council recognises that households are facing increased energy costs due to the recent increase of the energy price cap and its imminent extension in April 2022. 

 

With bills set to increase as much as 57%, we understand that many residents may find it extremely difficult to meet their energy costs. For those on the lowest incomes, this may lead to a choice between heating and eating.

 

To demonstrate what is already happening, on 12th January 2022, the Morecambe Bay Foodbank received two calls in a single morning from distressed residents who were unable to pay their bills, and were seeking help with emergency food as a result. Charities in our area including Citizens Advice, Eggcup, The Morecambe Bay Foodbank and the Morecambe Bay Credit Union are all seriously concerned about how vulnerable people will be able to manage their money in the coming months, especially due to the recent cut to Universal Credit and the impending end of the Household Support Grant in March 2022.

 

This Council calls on the government to take action to help those who are likely to suffer as a result of these price rises. Specifically, this council will write to the Secretary of State for Communities and Levelling Up to ask, along with Citizens Advice, that

·                      An "Energy Support Grant" should be delivered through the benefits system to provide a much needed £300 (as recommended by the Resolution Foundation) to help with fuel costs, paid to all Universal Credit and Legacy Benefit and pension credit claimants in April 2022.

·                      The benefits increase due in April 2022 is based on the IFS (Institute of Fiscal Studies) recommendation of 6% rather than the planned rise of 3.1% to more accurately reflect the cost of living

·                      The Warm Homes Discount should be extended to channel money directly to those that need it most, enabling them to heat their homes in Winter 2022, when prices are due to soar further

The cost of supplier failures should be spread over two or three years to reduce the cost and provide relief to consumers in the short term.

Supporting documents: