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Exclusive: Chancellor rules out further help with ‘unsustainable’ north energy costs as thousands in ‘crisis’ over bills

Chancellor Rishi Sunak ruled out UK Government help with the 'unsustainable' cost of energy in the north-east and Highlands. Picture by HM Treasury.
Speaking to The P&J in Aberdeen, Chancellor Rishi Sunak ruled out UK Government help with the 'unsustainable' energy prices in the north-east and Highlands. Picture by HM Treasury.

The Chancellor of the Exchequer has told the P&J there are no plans for help with the higher energy prices in the north-east and Highlands – as thousands turn to emergency help with the soaring costs.

Rishi Sunak stood by the UK Government aid planned to help with the cost of living, which will mean the most vulnerable could receive up to £1,200.

It comes as north-east energy charity Scarf tells us they issued more than 2,000 crisis grants in the last three months.

They have warned that, with prices due to rise again in autumn, more will have to choose between eating or heating their homes.

Chancellor: Energy price help on offer is ‘generous and significant’

Pushed by The Press and Journal for localised help, he said “most people” had acknowledged that to be a “generous and significant sum, commensurate with the challenge faced”.

It comes as analysis from Compare the Market showed people living in Shetland were, on average, paying double the energy price cap last year.

Orcadians were being charged an extra 96% on the then price cap of £1,277, while the average was 57% in Aberdeenshire and 45% in the Highlands.

The price cap has since been raised to £1,971 and could very nearly hit £3,000 in October.

What government help is there with the cost of living crisis?

So far, the UK Government has offered a £150 council tax rebate for households in properties in bands A-D.

There will also be a £400 grant to help with energy costs, tied to the electricity network to ensure it benefits homes that are off the gas grid too.

Speaking to The P&J in Aberdeen, Chancellor Rishi Sunak ruled out UK Government help with the 'unsustainable' energy prices in the north-east and Highlands. Picture by HM Treasury.
Speaking to The P&J in Aberdeen, Chancellor Rishi Sunak ruled out UK Government help with the ‘unsustainable’ energy prices in the north-east and Highlands. Picture by HM Treasury.

Aside from that “well-targeted” support, the chancellor told the P&J that existing help for communities hit by extreme winter weather would be the “locally determined” answer.

Speaking after a meeting with energy industry chiefs in Aberdeen, he said: “I know things are difficult right now.

“People are seeing prices rise and are anxious. Recently we announced significant amounts of support to help families with the cost of living.”

Charity chief: Blanket approach to energy price troubles ‘extremely disappointing’

But those on the frontline, helping north families struggling to keep ahead of the mounting cost of living, branded the chancellor’s approach as “extremely disappointing”.

There will be no locally-targeted help with the 'unsustainable' energy prices in the Highlands and north-east from the UK Treasury. Photo by Xinhua/Shutterstock
There will be no locally-targeted help with the ‘unsustainable’ energy prices in the Highlands and north-east from the UK Treasury. Photo by Xinhua/Shutterstock

Co-chief executive of Scarf David Mackay said: “It lacks strategy and is an attempt at a blanket solution.

“We are concerned that areas with higher than the national average level of fuel poverty – such as the north-east and Highlands – have not been targeted for the further financial assistance that would be required to bring it in line with national averages.

“Scarf has supported over 2,000 households in the north-east with crisis grants in the last three months alone, funded by north-east councils and our own resources.

“This may slow down during the warmer months, however, if the UK Government doesn’t intervene, October’s energy price cap rise will push more households into choosing whether to eat or to heat their homes.”

Aberdeen MP highlights soaring foodbank use

During his visit to the Net Zero Technology Centre, the chancellor was also called out in the House of Commons.

Stephen Flynn MP hit out at the chancellor, citing the increase in foodbank use in Aberdeen. Picture by Scott Baxter/DCT Media.
Stephen Flynn MP hit out at the chancellor, citing the increase in foodbank use in Aberdeen. Picture by Scott Baxter/DCT Media.

SNP Aberdeen South MP Stephen Flynn highlighted the need for one Granite City foodbank to hand out 600 parcels in a single week.

Another, he told MPs, distributed 80 in only 90 minutes.

Mr Flynn said: “It is a scandal, but a necessity, because of the economic and welfare policies of this UK Government.

“By chance the chancellor happens to be in my constituency so I have asked him if he’d like to attend one such foodbank to see for himself the devastating impact of his actions.

“I am not (holding out hope) that he will say yes.”

Find out what help is available – and how you can assist – by reading about our award-nominated Big Food Appeal.

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