Isle of Man gas customer financial support due in January

Financial support for gas customers cannot be made available until 2022 despite a 27.5% bill increase being introduced, the treasury minister said.

The Manx Gas price hike was approved by Tynwald last month in response to the rising cost of wholesale gas.

David Ashford said restrictions in the benefit payment system meant support could only be paid around 20 January.

Jason Moorhouse MHK said some people were now "fearful" of heating their homes as bills were already rising.

An extra £100 in financial aid will be paid to those who qualify for the £350 winter fuel bonus, along with people on certain other earnings-related benefits.

Some people "just above the income support level" would also qualify for a "taper off rate" ranging from between £75 and £25, Mr Ashford said.

He told the House of Keys the delay to the support being paid was because increases to weekly income support payments could not legally be implemented "mid tax year" due to the "functionality of the social security benefits payment system".

Mr Ashford said about 4,000 Manx Gas customers would qualify for the additional support.

The 2.1p per unit increase, which was recommended by the island's energy regulator, came into force on 20 October and will apply to all customers' bills by the end of the December billing round.

Mr Moorhouse said the delay in payments until January was "quite concerning" as the increased billing was a "real issue happening around us very soon".

"Several constituents are increasingly fearful about not being able to turn on the gas because of this increase in cost," he added.

Mr Ashford urged customers currently struggling with their bills to contact Manx Gas directly to discuss their concerns.

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