Energy Efficiency Area-based Grants (Reallocation of Unused Funds)

Portfolio Question Time – in the Scottish Parliament at 2:00 pm on 16 January 2025.

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Photo of Mark Griffin Mark Griffin Labour 2:00, 16 January 2025

To ask the Scottish Government what discussions the net zero secretary has had with ministerial colleagues regarding whether unused funds from energy efficiency area-based grant schemes could be reallocated, including to reduce Fuel Poverty in the coming financial year. (S6O-04216)

Photo of Alasdair Allan Alasdair Allan Scottish National Party

I met ministerial colleagues on 12 September 2024 to agree the issuing of grant offers for area-based schemes. We agreed that that was a priority and noted the challenge in completing some projects by March. The grant offer therefore extends to June 2025 to help to ensure ABS project completion.

We have also boosted Fuel Poverty support this winter by allocating an extra £20 million to the warmer homes Scotland scheme, taking its support to £85 million. Through the 2025-26 budget, we propose to invest more than £300 million in our heat in buildings programmes, including support for people in fuel poverty.

Photo of Mark Griffin Mark Griffin Labour

Area-based schemes are place-based approaches that can transform whole neighbourhoods by improving health, creating jobs and cutting greenhouse gas emissions, but, over the past three years, more than £60 million of a possible £192 million has gone unspent. That is because, as the Minister highlighted, councils often do not receive their grant allocation until well into the financial year. Will the Scottish Government commit to making sure that the funding is made available to councils in time for the funds to be spent on vital services throughout the year?

Photo of Alasdair Allan Alasdair Allan Scottish National Party

As Mark Griffin identifies, area-based schemes are very valuable in addressing Fuel Poverty. Area-based scheme funding of up to £64 million was identified in the 2024-25 budget documents, as per the distribution agreed with the Convention of Scottish Local Authorities. However, ABS 2025-26 grant offers were delayed until September 2024 due to the Scottish Government facing what I hope he and others will acknowledge was an emergency spending control situation. However, from what I have said, he will be aware of the value that the Scottish Government places on those schemes.

Photo of Annabelle Ewing Annabelle Ewing Scottish National Party

That concludes portfolio questions on net zero and energy, and transport. I apologise to members whom I was not able to squeeze in.

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fuel poverty

A household is said to be in fuel poverty when its members cannot afford to keep adequately warm at reasonable cost, given their income.

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