Difference between revisions of "How much SHOULD household energy bills be?"
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Ten percent of 60 percent of the median (or 6% of the median if you prefer) = £1764; compare this to the actual average household spend on energy: £1254 | Ten percent of 60 percent of the median (or 6% of the median if you prefer) = £1764; compare this to the actual average household spend on energy: £1254 | ||
| − | This suggests the domestic consumer could afford to pay a ''modest'' premium for more household energy … but multiples of 3X, 5X, 10X ''would'' plunge large numbers of people into fuel poverty | + | This suggests the domestic consumer could afford to pay a ''modest'' premium for more renewable / low carbon household energy … but multiples of 3X, 5X, 10X ''would'' plunge large numbers of people into fuel poverty |
[https://www.ons.gov.uk/peoplepopulationandcommunity/personalandhouseholdfinances/incomeandwealth/bulletins/householddisposableincomeandinequality/financialyearending2019provisional ONS Median Income 2019] | [https://www.ons.gov.uk/peoplepopulationandcommunity/personalandhouseholdfinances/incomeandwealth/bulletins/householddisposableincomeandinequality/financialyearending2019provisional ONS Median Income 2019] | ||
[https://www.ofgem.gov.uk/publications-and-updates/infographic-bills-prices-and-profits Ofgem Median Household Energy Bill] | [https://www.ofgem.gov.uk/publications-and-updates/infographic-bills-prices-and-profits Ofgem Median Household Energy Bill] | ||
Latest revision as of 12:08, 27 September 2019
One possible benchmark is to combine the traditional ten percent definition for FUEL POVERTY, which means a household is deemed to be in fuel poverty if it needs to spend more than 10% of household income on fuel and the definition for POVERTY meaning 60% of median household income
In the UK in 2019 the median disposable income is £29,400 according to The Office for National Statistics
Ten percent of 60 percent of the median (or 6% of the median if you prefer) = £1764; compare this to the actual average household spend on energy: £1254
This suggests the domestic consumer could afford to pay a modest premium for more renewable / low carbon household energy … but multiples of 3X, 5X, 10X would plunge large numbers of people into fuel poverty