MercoPress. South Atlantic News Agency

Falklands implements changes to fuel and power allowances

As announced in the Budget, the calculation for the Winter Fuel Allowance will be linked to the April price of Kerosene each year

In October 2022 the Falkland Islands ExCo approved an amendment to the eligibility criteria for Winter Fuel Allowance. This means that from June 2023, people who are eligible for Income Support will now also be eligible for Winter Fuel Allowance.

From June 2023, a household is eligible for the Winter Fuel Allowance if at least one member of the household:

• receives a retirement pension; or,
• is of normal retirement age on or before 30 September in the year an application is made; or,
• is entitled to attendance allowance at the high or medium rate; or,
• is eligible for income support; and
• is ordinarily resident in the Falkland Islands.

Calculation of the Winter Fuel Allowance level

As announced in the Budget, the calculation for the Winter Fuel Allowance will be linked to the April price of Kerosene each year. This will normally be set at 50% of the fuel costs in winter for an average household (i.e. 50% of the April cost of 1,200 liters of kerosene).

For winter 2023, ExCo has agreed to cover 70% of winter fuel cost for eligible households, given the current high cost of living. This means that the 2023 allowance is set at £865, or approximately £216 per month over the four winter months.

The level of allowance will revert to covering 50% of fuel costs next year.

Changes to the Household Fuel and Power Allowance

ExCo also approved an extension of the temporary Household Fuel and Power Allowance (HFPA), from 1 June to 30 September 2023, at the same rate of £140 per month. This means that households eligible for the allowance who are not eligible for the Winter Fuel Allowance can continue to receive the HFPA over the winter months.

Households currently in receipt of the Household Fuel and Power Allowance

If a household is eligible for the Winter Fuel Allowance, they will stop receiving the temporary HFPA and will automatically receive the Winter Fuel Allowance instead, which will provide for up to 70% of their total fuel costs over the winter.

However, households entitled to a partial Winter Fuel Allowance payment which is less than their current HFPA payment will continue to receive the higher payment amount.

Those who are already receiving the HFPA who meet the criteria for the Winter Fuel Allowance will receive a letter in the post informing them of the changes in rate as well as confirmation of the payment dates.

New applications for both the Winter Fuel Allowance and the Household Fuel and Power Allowance are still welcome, and eligible households will receive payments from the date of application.

For further information please contact the Income Support team on 27296 or email incomesupport.social@kemh.gov.fk