Winter deaths warning as 76,000 older Scots say they have no savings

More than one in four (26%) of over 65s in Scotland said they had to rely on what the had put away last winter because their income was not enough to cover their regular bills or living costs like food, electricity and council tax, a study has warned.

Energy Action Scotland has warned that further winter deaths are likely to be repeated if the government does not step in.

The YouGov survey for the older people's hardship charity Independent Age found that "worryingly" over 76,000 (7%) said they did not have savings to fall back on as they struggled to make ends meet last year.

READ MORE: A third of Scots blame energy regulators for a keeping bills too high

The charity is concerned that continued high costs will mean more dangerous cutbacks for many over this winter, and a fall into poverty for others.

It has warned that older people’s ability to cope this year could be further reduced as older people have already seen their savings diminish.

Independent Age said the Scottish Government needs to urgently introduce a pensioner poverty strategy Of those who used their savings over 50,000 older people in Scotland (18%) said they had used most, all or almost all of their savings.

And some 40% have said they are now worried about their financial situation.

Independent Age said it hears from older people who make dangerous cuts to cover their costs, and in some cases, getting into debt.

It said reducing hardship "is vital if the UK and Scottish Governments want to reduce excess deaths this winter"

It comes after the regulator Ofgem said the energy bills cap will be increased to 29p per unit of electricity and 7p per unit of gas from the start of next year.

It means that the typical household’s dual fuel bill will rise from £1,834 per year to £1,928 from January.

The increase in the price cap was expected because the cost of wholesale gas has gone up in recent months. This is due to world events including the conflict in the Middle East.

Despite the price cap, average energy bills remain nearly double what they were two years ago when the price cap was at £1,042.

On top of that, this winter there will be no reintroduction of a £400 energy bills support scheme to help households as was the case last winter when the UK Government's Energy Price Guarantee set average dual fuel bills at £2500 per year.

The UK Government has rejected proposals in an online petition calling for the Energy Bills Support Scheme (EBSS) to be reinstated.

Some 11,728 people across Scotland, England, Wales and Northern Ireland signed an e-petition created by campaigner William Conway, who warned that many people are facing a choice between heating and eating this winter.

Frazer Scott, chief executive of Energy Action Scotland said: “Older households are amongst the most vulnerable when it comes to being unable to afford to heat their homes to levels that are essential to maintain health and wellbeing. They need to be in homes that warmer for longer.

"With energy costs this winter set to be almost 20%* higher than last winter as a result of changing energy prices and the absence of the £400 Energy Bill Support Scheme payment it will be even more difficult for older households. Savings exhausted, nothing to fall back on, people will go with out and their health will suffer.

"Unacceptable levels of excess winter mortality in 2022/23 are likely to be repeated. Governments need to do more to help those that need it most.”

Winter deaths caused by cold homes are estimated to have nearly doubled in Scotland in a year during the cost of living crisis.

The total number of excess winter deaths in Scotland, which covers a four-month period from December to March has soared from 1,320 in 2021/22 to 2,424 in 2022/23.

New analysis using the official data on excess winter deaths that has been presented to MPs states that 521 people were estimated to have passed away while living in a cold damp home in Scotland in 2022/23.

The study takes in Institute of Health Equity methodology that suggests 21.5% of excess winter deaths are caused by living in cold homes and has raised new concerns that not enough is being done to support those struggling to make ends meet.

According to the estimates seen by the Herald just 284 would have died as a result of cold homes in 2021/22.

Joanna Elson chief executive of Independent Age, said: “The Scottish Government must urgently introduce a pensioner poverty strategy. 150,000 older people live in poverty across Scotland.

"Alarmingly, this figure has risen by 25% in the last decade alone, and has been compounded by the ongoing costs crisis squeezing the budgets of those in later life living on a low income to breaking point.

" To reverse this frightening trend, the Scottish Government must invest all possible resources behind a national strategy to reach and support all older people in poverty. The UK Government must also take action to reduce the number of older people in poverty, including a fundamental review of the level of State Pension.”

Ofgem says it is planning to lift the energy price cap from April next year in order to help suppliers recover nearly £3 billion in debts from customers who cannot pay their bills.

Ofgem said it wants energy companies to use the extra funding to support struggling customers and write off bad debts.

The watchdog is proposing a one-off price cap adjustment of £16, equivalent to around £1.33 a month, to be paid between April 2024 and March 2025.

Customers on pre-payment meters will not be affected.

The additional costs will ensure suppliers have the resources to support struggling customers by setting up payment plans, writing off unmanageable debt on a case-by-case basis and working out affordable repayment holidays, Ofgem said.

Ms Elson added: "We heard from people who were sleeping in coats and hats because they couldn’t afford to turn the heating on; one older person even resorted to eating dog food to save money.

"We also heard from people who had worked all their life and done their best to save, yet were reaching out for help for the first time as the financial strain became too much.

“This upcoming winter has the potential to be even more challenging, and from our research we now know many older people were forced to deplete their savings last year just to get by.

"Without this safety net to fall back on, many more older people may be forced into making drastic, and in some cases, dangerous cutbacks because they don’t have enough money to cover the essentials. For others, it could mean they fall into poverty, which is a very worrying prospect.”

Meanwhile, a new emergency energy and food voucher initiative to support Scotland's most vulnerable older people this winter was launched this week by Age Scotland in partnership with gas distribution company. It SGN.

The charity said it had launched the inititiatve on hearing first-hand about the impact the cost-of-living crisis is having on older people, especially those living in fuel poverty who are worried about turning on their heating.

Age Scotland is concerned people are skipping meals and eating cold food for fear of falling into debt due to the rising cost of living.

The charity says the initiative will enable Age Scotland energy specialists to offer struggling older people a £30 credit towards their fuel costs, or food costs. They will also provide access to the charity’s support services, including energy advice and income maximisation to help older people use energy safely, affordably and efficiently.

The initiative is open to those aged 50 and over who are registered to a Scottish postal address and eligibility will be determined on a case-by-case basis.

A UK Department for Energy Security and Net Zero spokesman said: “We recognise the cost-of-living challenges families are facing, which is why we are spending £104 billion supporting households with bills.

“This includes support for the most vulnerable, with three million households expected to benefit from the £150 Warm Home Discount, £900 for those on means-tested benefits, and an extra £150 for disabled people.”

The UK Government said it was providing extensive financial support to households in a package worth over £104 billion, or £3,700 per household on average, over 2022-2025.

A Scottish Government spokesman said: “We continue to work with our trusted partners in the Older People’s Strategic Action Forum on a range of priorities for advancing age equality. We are providing funding of over £2 million from our Equality and Human Rights Fund to support older people’s organisations to deliver work focused on tackling inequality, enabling older people to live independent and fulfilling lives.

“We continue to do everything within our limited policy and fiscal powers to support households who continue to struggle with their energy bills, including continued investment with our Winter Heating Payment to provide targeted support at often the most critical point in the year. This is on top of our investment in the Scottish Welfare Fund for 2024/25, supporting those in the greatest financial stress, and distributing the bulk of the £30 million Fuel Insecurity Fund 23/24 over Winter so that those who are most at risk of self-rationing or self-disconnecting get tangible help when they need it most.

“But these can only be mitigation measures. The UK Government has continually failed to take the necessary steps – which only it can take - to ensure households and businesses never experience an energy crisis like this again. Scottish Ministers have repeatedly called for a social tariff, which would provide the right and fair support for some of the most vulnerable people in society. It is bitterly disappointing that they have chosen not to deliver on previous pledges and act to fix this unacceptable level of inequality and tackle the source of fuel poverty.”