National Grid launches £50m energy help fund to tackle ‘escalating crisis’

Citizens Advice described the cost of living as an ‘escalating crisis’ and advised people to seek help

The National Grid has pledged to donate £50 million to help those facing financial agony caused by the cost of living crisis throughout the next two winters.

The fund will be disrupted through charities that provide immediate financial support to households using pre-paid energy meters, those that fund energy efficiency measures to lower bills and organisations that provide financial advice.

Citizens Advice, The Fuel Bank Foundation and Affordable Warmth Solutions will receive £10 million each.

Another £1.5 million will be given to the National Energy Action to ensure people can be warm in their homes, while £1 million will go to the National Energy Foundation which helps improve the energy efficiency of homes and offers guidance on how people can lower their energy bills.

The remaining £15 million will be distributed to organisations that provide help and support to those who need it most.

Citizens Advice’s chief executive, Dame Clare Moriarty, said the fund was “hugely welcome” and would help it meet rising demand and support people “through the difficult period ahead”.

“Our frontline services are inundated with people struggling to afford their energy bills. In the face of this escalating crisis, it’s more important than ever that people can turn to us for advice on managing costs and keeping out the cold,” she added.

Matthew Cole, head of the Fuel Bank Foundation which provides financial support to 650,000 households with prepayment meters, said the money would help it support those who most in need.

“Without Fuel Bank’s help, households risk living without heat, light and power, which in turn means not having a cooked meal or a hot bath/shower. This can have a serious impact on physical and mental health, and sadly, in the worst cases, even lead to death,” he said.

A spokesperson from the National Energy Foundation said: “Into the winter and beyond, National Grid’s donation will enable us to impact over 18,000 households, both helping right now with emergency funding, as well as providing ongoing support to reduce energy bills and make homes warmer for the future.”

Earlier this month, National Grid Electricity Distribution launched a £2.5 million fund to help people in fuel poverty across the Midlands and Wales.