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Budget Commitment To Home Heating Is Encouraging

Filed under: Homeowner Loans @ November 26th, 2008

Budget Commitment To Home Heating Is EncouragingThe announcement that more money will be committed to help people insulate their homes and lower their energy bills is an encouraging development, Confused has stated.

According to the group, the new allocation of funds will extend the help available for those looking to keep bills down during this difficult period, as well as those who are looking to reduce their energy output. In the pre-Budget report delivered by chancellor of the Exchequer Alistair Darling on Monday, it was stated that an additional 100 million pounds would be allocated to extend the Warm Front, which has already used up its current budget of 50 million pounds in helping to provide households with a modest income to keep their homes warm by providing free energy advice and assistance.

So too, Mr Darling said that an additional 50 million pounds will be made available to provide up to 60,000 households with additional home insulation. Mr Darling also looked to reassure struggling homeowners that Ofgem, the energy industry regulator, was in the process of reviewing the disparity between the wholesale prices of oil and gas and residential energy costs, adding that unless firm progress is made in bringing down prices, statutory powers will be called upon to bring utility providers into line.

In such a circumstance, consumers could find that they have more money to put towards other financial commitments such as personal loans or credit cards.

Meanwhile, Confused reminded consumers that while the new measures would surely help ease the burden of keeping warm in the coming months, it was important that people made a commitment to bringing prices down.

“Whilst its pleasing to see the issues of energy costs and usage being addressed at government level, its up to everyone to take responsibility. Household consumption of energy has increased substantially in the last 30 years. Just as an example, the average temperature in a UK home in the 1970s was 12 degrees centigrade, in 2006 it was 18 degrees centigrade – and it is not only central heating thats increased our energy consumption. Household gadgets like fridges, washer dryers, dish washers, large screen televisions and air conditioning units, all eat up energy. Not only is energy costing us more, were using more of it,” the price comparison site said in a prepared statement.

For consumers who have found themselves struggling in recent months as energy prices have soared, taking out a debt consolidation loan may prove an effective way to clear repayments over a longer period of time, thereby leaving people with more disposable income left over at the end of each month. Meanwhile, for those who are looking to reduce their exposure to high energy prices in the long term, a home improvement loan may be of use in upgrading appliances in an effort to reduce the amount of energy used. Indeed, a recent study carried out by Legal & General found that Britons are increasingly keen on pursuing greener energy habits. However, the insurance provider noted that while many are concerned about their carbon footprint, the principal reason for giving their home an efficiency overhaul is to reduce the strain on the wallets.

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