Will targeted energy support reach everyone who’s struggling?

While households on the lowest incomes are undoubtedly bearing the brunt of the cost-of-living crisis, they’re far from the only ones feeling the pinch.

In fact, polling group More in Common has found that worry about bills “now runs right across the income spectrum”.

But with energy prices heading upwards, More in Common’s findings raise an important question.

Will any help that’s offered in next week’s Budget reach everyone who needs it?

Universal bill support unlikely

The government has already hinted that some cost-of-living support will be announced in next week’s Budget.

But chancellor John Healey recently suggested in an ITV News interview that any help should be “targeted and temporary”.

So If any relief scheme is introduced, it’s unlikely to be available to everyone.

But if targeted support is put in place, perhaps based on people’s household incomes, there will be all sorts of questions about exactly where the cut-off point should be.

And many will feel that’s unfair.

“The middle-income voters we spoke to feel they are struggling but never qualify for help,” said Luke Tryl, UK director at More in Common. 

“If support takes the form of a narrowly targeted package, it risks missing that growing squeezed middle altogether.”

Mr Tryl added that ensuring support reaches “beyond just the lowest earners” will be “crucial”.

VAT cut ‘won’t make a big financial difference’

The government has already scrapped VAT on household electricity bills for six months - a move backed by more than half (54%) of those polled.

But despite that, nearly two-thirds (64%) doubt it will make a big difference to their household finances.

Rumours are already swirling that the chancellor will announce an extension to this VAT cut in the Budget.

However, the fact people don’t expect it to have a big impact possibly puts pressure on Mr Healey to go further.

More in Common’s poll also found that cutting electricity bills is voters’ main priority right now, ahead of other issues like cutting taxes and investing more in the NHS.

And significantly for policymakers, energy is the number one priority among voters across the political spectrum, regardless of who they voted for in 2024.

What can I do if I’m worried about energy bills?

If you’re struggling to keep up with your gas and electricity bills, there are steps you can take.

Speak to your supplier

Contact your supplier as soon as possible, as they might be able to offer payment plans, grants and advice on managing your account.

See what benefits you can claim 

Use our benefits calculator or give us a call to find out if you’re eligible for any financial support.

Ask for help with your debts

If you’re feeling weighed down by debt, contact us for confidential, practical and impartial debt advice.

Create a household budget

Work out exactly how much money you’ve got coming in each month and where it’s going, so you can prioritise essential bills and see where savings can be made.

Check our guide to creating a budget to find out more.

Try to save energy at home

Small changes like not overfilling the kettle and turning lights off in empty rooms can lead to big savings.

Check our list of smart energy-saving tips for more easy ways to bring down your energy bill.