Charity warns of fuel hike hardship despite payouts

THE St Vincent de Paul Society last night warned that increases in welfare benefits would do little to help families meet the cost of fuel bills, after steep rises in the price of both electricity and gas.

Charity warns of fuel hike hardship despite payouts

Welfare Minister Seamus Brennan yesterday confirmed increases in payouts following Sunday’s 33.8% rise in gas bills, and a predicted 19.7% hike in electricity costs in January.

SVP, however, said too few people were eligible to claim the payouts, leaving them facing difficulty in paying their heating and light bills this winter.

John-Mark McCafferty, the society’s head of social justice and policy, said: “Only a narrow set of households are eligible to receive social welfare payments and not all of them can get help with fuel.”

Working families struggling on low wages, for instance, would not benefit from the rises, he noted.

“There are families on social welfare who are not eligible [for free gas and electricity]. Working families on low pay are not eligible [either]. These families will be bearing the brunt of the energy costs and will be particularly at risk,” he said.

Yesterday, the Department of Social and Family Affairs confirmed a €5 increase in weekly payments of €9, under the National Fuel Scheme, for 274,000 claimants.

Around 26,000 householders would benefit from €516 of free gas under the Households Benefits Package, while 300,000 will get extra free electricity units from January.

Mr Brennan said the Government was spending €185.5m on the welfare pay-outs to help the needy meet their bills over winter.

Despite the hikes in benefits, the SVP expects to spend over €3m over winter helping the needy pay their fuel bills.

At the weekend the society’s volunteers in Cork were out in force collecting money at churches.

Regional organiser Padraig McCarthy said: “By the time December comes, we have vast increases in the numbers of calls for (help with) coal, gas and ESB.

“Much more of our money this winter will be going to help people with bills because of these rises.”

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