New round of £2m Social Housing Fuel Support Fund announced by Cabinet Secretary

With soaring energy bills and the cost of living crisis severely affecting social housing tenants across Scotland, financial support has been announced for housing associations and co-operatives to help tenants who are in, or at risk of, fuel poverty.

Cabinet Secretary for Net Zero, Energy and Transport Michael Matheson announced a new £2 million round of the Social Housing Fuel Support Fund today (Friday 26 August) at Wheatley Group’s head office in Glasgow. The announcement came as Ofgem announced further energy price cap changes.

First launched in 2020/2021, the Social Housing Fuel Support Fund is part of the Scottish Government’s wider £10 million Fuel Insecurity Fund. The Scottish Federation of Housing Associations (SFHA) is administering the Social Housing Fuel Support Fund for registered social landlords to provide direct support for their tenants who are struggling with energy costs.

A report has also been released on the impact of the previous round of funding. In total, 41 organisations directly received funding, with a further 24 accessing fuel vouchers for their tenants through one of the main funding recipients. Thanks to the funding, housing associations and co-operatives, from across Scotland, representing rural, island and urban communities, were able to help their tenants.

The funding resulted in:

• nearly 16,000 fuel vouchers being distributed to tenants, with a total value of £783,314
• direct financial support being provided to over 4,000 tenants
• energy advice, including help with energy use or switching to a cheaper supplier, being provided to over 4,000 tenants
• debt being reduced for 1,475 tenants and 900 tenants becoming debt free.

Cabinet Secretary for Net Zero, Energy and Transport Michael Matheson said:

“This is a deeply unsettling time for households, and the Scottish Government, alongside our trusted partners, including the Scottish Federation of Housing Associations, continue to do everything we can to provide support through the cost crisis – particularly those most at risk of, or already in, fuel poverty.

“As part of nearly £3 billion allocated to help households face the increased cost of living this financial year, we have committed £10 million through our Fuel Insecurity Fund, specifically to target households rationing their energy use, or self-disconnecting entirely. This latest round of investment, delivered through the Social Housing Fuel Support Fund by SFHA, will enable social landlords to deliver direct, tangible help to some of the most vulnerable households in Scotland.”

Sally Thomas, SFHA Chief Executive, said:

“With energy bills set to soar even further this autumn, this is timely and important funding from the Scottish Government for another round of the Social Housing Fuel Support Fund for people living in social housing. This support is needed now more than ever, so social landlords can continue their vital work in tackling fuel poverty and tenants are helped with spiralling costs.

“As with previous rounds of the fund, it will mean housing associations and co-operatives can provide practical and financial support, helping tenants to keep their homes warm and manage their energy bills. The impact of this on people's lives cannot be overestimated at a time when so many are already struggling with their fuel costs and fearful about what is yet to come.

“We will continue to work with the Scottish Government, so we can bring much-needed support like this to people who are struggling during the energy and cost of living crises.”

Wheatley – Scotland’s largest housing, care and property-management group – has previously received £750,000 funding from the Social Housing Fuel Support Fund.

Laura Pluck, Wheatley Group Director of Communities, said:

“During these tough times, it’s more important than ever we help our tenants save money and keep warm in their homes.

“This latest funding from Scottish Government, combined with our own wraparound support services, will help us support our tenants during the cost of living crisis.

“We’d urge any of our tenants who are worried about heating their home to contact us straight away. We have a wide range of support services for tenants who are worried about money, putting food on the table, furnishing their home and getting into debt.”

The third round of the Social Housing Fuel Support Fund will open on 29 August via the SFHA website. Further details will follow.

Image at top: The Cabinet Secretary meets with (l to r) Wheatley Homes Glasgow tenant Liz Macinarlin, Wheatley Group Fuel Advisor Project Co-ordinator Michelle Stone and Wheatley Group Money Advice Lead, Pauline Lyons, to hear about Wheatley’s lifeline support services to help tenants during the cost-of-living crisis.