As of 2025, fuel poverty remains one of the most pressing issues in the UK, affecting approximately 5.5 million households.
Fuel poverty is defined as the struggle to keep one’s home adequately heated due to low income. However, the stress of ever-rising energy prices and poor insulation within social housing means that the quality of life and health of millions of people in the UK are being impacted negatively. This doesn’t just mean that some residents are living uncomfortably in cold homes, but that the situation is so severe that, in some cases, the impact of fuel poverty can lead to death.
As temperatures drop in the winter months, fuel poverty becomes a growing concern, as residents struggle to keep themselves and their families warm. But the ongoing energy and cost of living crisis has only made matters worse, leaving many trapped living in cold, dark and miserable conditions.
Where is the most affected?
It’s no surprise that the most deprived areas of the UK are the ones that are affected most by fuel poverty, but where exactly are these areas?
After analysing Fuel Poverty Statistics from The Department for Energy Security and Net Zero, it’s shown that fuel poverty is hitting Scotland harder than anywhere else in the UK, with around 31% of homes (roughly 791,000) struggling to keep their homes warm, according to the latest Scottish House Condition Survey. Rising from a recorded 25% in 2019, this is a huge jump in the number of people in hardship. All of this is a clear consequence of rising energy prices, which make affording a warm home difficult for all, in particular those living in older properties.
Northern Ireland isn’t far behind, with around 22% of households, approximately 170,000, affected. This is a rise from 18% in 2016. England’s North West is also on the radar of the most affected areas, with around 450,000 households (14.4%) in fuel poverty, based on government figures from 2022.
It’s not hard to see why these areas are among the worst affected. Many homes are older, are less energy-efficient, have poor insulation and are situated in locations where incomes are generally lower, making heating costs even harder to manage.
Local areas are also being impacted by fuel poverty, with Blackpool (16.8%), Newham (17.3%), and the Isles of Scilly (21.5%) being classed as fuel poverty hotspots in the UK.
Where is the least affected?
Fuel poverty isn’t hitting all of the UK equally. In fact, in some areas, such as Surrey Heath, there are only 6.1% of households (around 2300) that are classed as poor.
North Tyneside is also placed among the areas least affected, with 8.2% of households (around 7,800) struggling to afford to sufficiently heat their home according to the Department for Energy Security and Net Zero’s latest sub-regional report.
But what’s driving the huge difference? It mostly comes down to higher incomes, newer builds, and improved energy performance from well-insulated homes. Together, these factors help keep heating costs down, with residents less likely to face the tough choice between staying warm and cutting back on their budget elsewhere.
Fuel poverty is rising as we speak across the UK, and England is no exception. According to the Department for Energy Security and Net Zero’s Annual Fuel Poverty Statistics Report 2025 (based on 2023 data), around 3.06 million households in England were facing the challenges of fuel poverty. Devastatingly, this is a steep increase from the 2.4 million recorded in 2018.
In 2023, the average, based on ‘Fuel Poverty in the UK’ published by the House of Commons Library, fuel poverty gap in England reached £417, which is the average amount needed to bring a household’s heating up to an adequate level. This is an increase from £348 in 2022 and £334 in 2018, and is a clear reflection of just how quickly and dramatically energy costs have risen. It’s also a stark reminder of how difficult it is for low-income households to keep warm in the winter.
Calculating fuel poverty
The way fuel poverty is measured depends on where you’re located in the UK. However, in England, the government uses the Low-Income High Costs (LIHC) method, which is used to determine whether a house is classed as fuel poor or not.
This method uses the statements:
- The household’s energy costs are higher than the national average
- If the household paid the cost of their energy bills, would they be left with too little money to live on? Would they be below the poverty line?’
These statements not only work out if a household is fuel poor, but also aid in identifying the fuel poverty gap – the money a household would need to not be classed as poor.
To figure this out, three main things are taken into account:
- How much money does the household earn as a whole?
- How much energy is needed to keep the home warm?
- What are the energy prices in the current period?
This criteria not only shows who is struggling, but also shows the extent of their struggle.
Numbers in relation to fuel poverty
The impact of fuel poverty goes far beyond expensive energy bills; it can be life-threatening. In the winter of 2022/23, the Office for National Statistics (ONS) recorded an approximate 17,800 excess winter deaths in England and Wales. That’s a massive rise from the estimated 13,400 from the Winter Morality Report the previous year.
Using ONS data and research from the Institute of Health Equity, the End Fuel Poverty Coalition estimates that around 4,950 deaths (the equivalent of 45 people a day during the winter months) were caused by living in cold, damp homes. A significant increase from 3,186 the previous year.
Additionally, the ONS found that the group most at risk were women aged 85 and over. In England, influenza and pneumonia were the leading causes of winter-related deaths. In Wales, the largest contributing factor was chronic lower respiratory diseases, all of which are made worse by living in cold conditions. When energy prices are extortionate, homes become impossible to heat, and the most vulnerable pay the highest price.
How Westdale are making homes warmer, safer & more energy efficient
Westdale partners with local authorities and housing associations to deliver retrofit solutions, making homes warmer, more comfortable, and more affordable to heat for residents.
If you’re part of a local authority or housing association and want to join Westdale in taking action against fuel poverty, explore our services or get in touch now.
