Stonewater says Spring budget 'changes nothing' for their tenants

David Preston and his wife Kathleen have lived in a block of flats on Paynes Road, owned by social housing provider Stonewater, for 17 years. 

The 76-year-old has seen his service charges shoot up from £220 to £800. 

"I have worked all my life and paid all my taxes. And suddenly you get something like this, which is not great," he said.

"I am getting nowhere and living on the breadline.

"I know everyone else in this block of flats is in the same boat, and the majority of us will be homeless very soon." 

READ MORE: Spring budget lacks 'explicit focus on the South'

David, a retired security guard, was hoping Chancellor Jeremy Hunt would announce more support for people in his situation.

Energy bill support is being extended for a further three months, meaning the average household bill will remain capped at £2,500 until the end of June.

However, Stonewater said yesterday's budget changes nothing for their tenants. 

What did Stonewater say? 

A spokesperson for the company said: "Customers who receive their energy supply via a communal system are not currently protected by the same Ofgem energy price cap as individual domestic consumers who get their energy directly from a supplier. This is because the rules for commercial and domestic customers are different.

Stonewater accommodation on Paynes Road, Southampton (Image: Newsquest)

"We are disappointed that there has not been more government help for those with commercial supplies and have been campaigning through the National Housing Federation to highlight this position. 

"It has been good to see some changes starting to happen, with customers now able to apply for a £400 Energy Bill Support Scheme Payment.

"We’d still like to see more done, however, recognising the impacts on people in retirement or supported schemes." 

The housing provider also said that, as social landlords, the firm is not allowed to make any profit from service charges. 

Both Stonewater and David say that the new budget barely makes any difference to their bills. 

David added: "Monthly, we get £66 from the Energy Bill Support Scheme. But that is nothing compared to the service charge bill I have to pay to Stonewater.

"What happens after three months when the scheme is over?" the pensioner questioned.