Cllr Johnny Penrose.

Pensioners in fear over rising energy costs, Penrose warns ahead of budget

Budget 2022 must have social welfare increases that reflect the cost of living in Ireland, Cllr Johnnie Penrose has said, sounding a warning over the cost of fuel and electricity.

Highlighting the uncertainty people face this winter, Cllr Penrose said that priority must be given to the most vulnerable in society. “This has been a hard year for all,” he stated.

“People have experienced unprecedented uncertainty. Social welfare rates haven’t increased in two years, and tens of thousands of people are out of work. Yet, the cost of living is increasing and all experts predict that will hit energy costs. Inflation hit a three year high in August of 3%, the highest since 2008.”

He said people living on a fixed incomes and social welfare payments who rely on gas or electricity to heat their homes face a worrying winter.

“The fuel allowance increase from last year has already been eaten up by inflation. The energy crisis is real and people in Westmeath are concerned about the probability of an energy blackout. We have had multiple warnings about electricity blackouts due to rising demand from data centres, and two gas plants are closed for maintenance.

“Gas prices are up 250% in Europe this year. Energy suppliers are increasing their prices. Lots of families won’t be able to afford to heat their homes if it keeps up.”

Cllr Penrose said that while it is known that the fuel allowance will rise again in the budget, it is a means tested payment.

“Budget 2022 is an opportunity for government to revalue the qualifying rate for the fuel allowance and broaden it so no person is cold this winter,” he said. “Government must also provide certainty that the increased prices in energy costs to customers will not result in disconnections that would compound matters.”

Many pensioners from across Westmeath have contacted him about the likelihood of an increase to the pension in Budget 2022, Cllr Penrose said.

“To leave pensioners without an increase this year would fly in the face of everything the government spoke about during the pandemic. These are among the most vulnerable, those that we asked to cocoon and miss many moments and memories throughout the past year and a half.

“Coming out of the pandemic, into a post-Covid Ireland, we must build back fairer. We must ensure that the most vulnerable social welfare recipients, like our pensioners, receive an increase that reflects the increased cost of living in Ireland. These people have worked hard, paid their taxes and contributed to society all their lives. The state cannot abandon them now.

“At a time of rising costs, those on fixed incomes will have to survive on less. Government cannot let this happen to the most vulnerable in our society.”