Policy and Government

The Government is currently undertaking a Comprehensive Spending Review to establish their spending plans for the next 3-5 years. These decisions could not be more key with so much economic uncertainty and low income households at the sharp edge. CAP has submitted a representation to the Review setting out what we consider to be the key priorities for welfare spending, debt collection, fuel poverty and local government. These include permanently extending the £20 per week uplift to Universal Credit and Tax Credit payments, increasing the Local Housing Allowance (LHA) to the 50th percentile of local market rents and ring fencing funding for local councils to provide 100% Council Tax Support to low income residents. Read our full list of priorities via the link below.

The current approach to debt management is problematic and inconsistent across both local and central government organisations. Over the last decade CAP has seen a threefold increase in the average amount of priority debt owed by clients, and with Covid-19 impacting many household finances, this call for evidence has come at a pertinent time. In order to provide holistic support to the growing number of people in debt, the Government must increase flexibility, work out more affordable repayment options and improve its communication with debtors, to name a few. Read our full response below. 

Along with 60 other anti-poverty charities, CAP is backing the #KeepTheLifeline campaign calling on the Government to act now to strengthen social security and support us in the recovery. The £20 uplift in the standard allowance of Universal Credit and Working Tax Credit has been a lifeline for many families as they’ve struggled to get through the coronavirus storm – but it is due to end in April 2021, whipping the lifeline away and cutting people adrift. To steer our society through the rough seas ahead of us, it’s vital that the Government continues to do the right thing and act with compassion to keep us all afloat and support the recovery. In doing so, the lifeline must also be thrown to people on legacy benefits, the majority of whom are disabled people or the people caring for them.

Read the blog here. 

CAP has responded to the long-awaited consultation from Ofgem on self-disconnection and self-rationing. We are happy to see Ofgem address this area, particularly that suppliers will have to monitor customer behaviour and identify self-disconnection where they can. CAP would like to see Ofgem prioritise prepayment customers with the smart meter roll-out to ensure the more vulnerable groups get further protection from this.

CAP has responded to Ofgem's consultation on protecting energy customers on prepayment meters. It is clear that now more than ever customers need protection, and Covid-19 will have a lasting impact on household finances. In our response we have highlighted some of our concerns around Ofgem's plans to combine the prepayment tariffs, particularly as this does look to create a poverty premium for many low income customers. Those who are disengaged with the marketplace are more likely to suffer the most, and few will truly benefit from the changes being proposed. We'd like Ofgem to really look again at this group of customers and make sure they get the best possible outcomes.