Consumer Scotland has welcomed today’s announcement by the UK Government to cut VAT on electricity bills.
However, Consumer Scotland wants to see further action to address fundamental affordability challenges facing many households.
Consumer Scotland Chief Executive Sam Ghibaldan said:
“This announcement is welcome at a time when many households are struggling to pay their fuel bills.
“However, there remains a strong case for more targeted support for households alongside wider action to tackle the growing burden of energy debt.
“We strongly recommend both UK and Scottish governments continue to work with us and others key bodies to develop policies that will help households struggling most with the cost of living.
“Reducing the cost of electricity is central to encouraging consumers to participate in the energy transition by making it cheaper to run low carbon technologies such as heat pumps and supporting consumers to move away from volatile fossil fuels in the longer term.”
Consumer Scotland’s latest Energy Affordability Tracker found 38% of Scottish households cannot afford to heat their home to a comfortable level, and 16% find it difficult to keep up with their energy bills.
The tracker, published in May this year, also shows energy debt is at a record high with 19% of households reporting energy debt compared to 9% in 2024.
Background
Insights from the 2026 Energy Tracker
Consumer Scotland’s Energy Affordability Tracker is an annual online survey of some 1,600 energy consumers in Scotland aged sixteen and over designed to understand energy affordability and experiences of debt.
Consumers struggling with their energy bills should contact Advice Direct Scotland which provides free advice on the financial support available from Monday to Friday between 9am and 5pm. Their advice line is 0808 196 8660.
Consumer Scotland is the statutory consumer advice and advocacy body for Scotland.