13/11/2011

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:00:25. > :00:27.Here in the north: The rising cost of heating our homes. A warning

:00:27. > :00:30.that fuel poverty could kill older people this winter.

:00:30. > :00:40.And will changes to legal aid mean victims of medical negligence

:00:40. > :00:40.

:00:40. > :32:01.Apology for the loss of subtitles for 1881 seconds

:32:01. > :32:04.losing out? We ask North East MPs. Hello and a warm welcome to your

:32:04. > :32:07.local part of the show. Coming up: This Carlisle family received

:32:07. > :32:12.compensation after a medical mistake left their son with serious

:32:12. > :32:15.disabilities. But will cuts to legal aid deprive others of the

:32:15. > :32:18.chance to get similar help? But first, all of us are facing

:32:18. > :32:22.higher fuel bills this winter and it's a particular problem in this

:32:22. > :32:24.part of the world. Levels of fuel poverty are twice as high in the

:32:24. > :32:28.North East than the South, with increasing numbers facing hardship

:32:28. > :32:31.as they try to keep their homes warm. The Government has called on

:32:31. > :32:34.energy companies to do far more to help customers switch suppliers and

:32:34. > :32:37.insulate their homes, but is that enough? In a moment, I'll be

:32:37. > :32:47.talking to two North East MPs who have campaigned on the issue. First,

:32:47. > :32:50.

:32:50. > :32:55.Mark Denten reports. In a community centre, a group of

:32:55. > :32:59.pensioners playing a game with a difference. Welcome to the

:32:59. > :33:09.wonderful world of energy efficiency bingo. You have won a

:33:09. > :33:11.

:33:11. > :33:15.slow cooker. The differences is that we give an energy efficiency

:33:16. > :33:19.to BAFTA each number is called. We show people how to be more energy

:33:19. > :33:25.efficient in the home. Which they are so unusual game is a sign of

:33:26. > :33:30.the Times. The bingo players are finding it hard to pay their bills.

:33:30. > :33:35.Energy firms are not exactly popular. I am absolutely disgusted

:33:35. > :33:42.about it. All the profits they are making. They are still put in the

:33:42. > :33:47.prices up. They're making enormous profits. Surely they can pass

:33:47. > :33:54.something on to the consumer rather than penalising them, especially

:33:54. > :33:58.the older people. The energy charity organising the event says

:33:58. > :34:04.the government is not doing enough to tackle rising fooled -- fuel

:34:05. > :34:13.bills. It 21 % increase, you're talking about an extra 60,000

:34:13. > :34:18.households being forced into fuel poverty. The government is

:34:18. > :34:24.committed to eradicate fuel poverty in the UK by 2016. That is not

:34:24. > :34:30.going to happen. While many of our bingo playing pensioners' bills

:34:30. > :34:34.have gone up by 20 %, spare a thought for this family. The only

:34:34. > :34:38.feel they can use his loyal and their bills have run up by 50 %.

:34:38. > :34:43.They will spend at least �1,000 on oil this winter. But it could be

:34:43. > :34:48.more. You don't know how much is going to be when you ring up. You

:34:48. > :34:53.could get another cold snap and you might be running low on oil and you

:34:53. > :35:00.have no alternative but to buy some more at a high price. It is

:35:00. > :35:07.difficult to budget over the winter. It is going to get era as the

:35:07. > :35:11.months get colder. It might go up 10 % in a month. Here is the firm

:35:11. > :35:16.that supplied his will. They say energy prices are keeping bills

:35:16. > :35:20.high but the government is not doing enough to help. The rate on

:35:20. > :35:25.heating oil is currently 5% and that could be taken off and that

:35:25. > :35:32.would be a 5% saving two of the domestic user. The are the key cost

:35:32. > :35:36.that every company has his haulage. That is road -- road fuel duty.

:35:36. > :35:41.That currently has very high, in excess of 60p a litre, with extra

:35:41. > :35:47.increases planned for January. If that was reduced, that could be

:35:47. > :35:51.passed on to the customer as well. But here we have got more oil Phil

:35:51. > :35:56.Holmes but the energy bills are falling. Energy companies are

:35:56. > :36:03.paying of the majority of the costs to Linslade these houses and why

:36:03. > :36:13.are they doing that? Because of the government is telling them to. This

:36:13. > :36:18.external installation works cast costs and the energy firms must pay

:36:18. > :36:22.the larger share of the cast. Across Northumberland, we have

:36:22. > :36:31.carried out a million pounds worth of installation improvements.

:36:31. > :36:39.Energy companies have funded more than �700,000 of that. In just five

:36:39. > :36:42.years, the government wants to lend fuel poverty for everyone.

:36:42. > :36:45.Well, with me now is Guy Opperman, the Conservative MP for Hexham.

:36:45. > :36:48.Last year he pressed for the Office of Fair Trading to investigate the

:36:48. > :36:51.rocketing cost of domestic heating oil. Also with me Dave Anderson,

:36:51. > :36:59.the Labour MP for Blaydon, who's calling for more government action

:36:59. > :37:02.to tackle fuel poverty. The Office of Fair Trading said in response to

:37:02. > :37:08.this inquiry about competition in the oil industry that it was

:37:08. > :37:15.working pretty well. Do you accept that? What they said is what there

:37:15. > :37:19.was -- is that there was some competition. In Northumberland,

:37:19. > :37:25.where we have a particular problem, we have 17 different companies

:37:25. > :37:29.providing heating oil and 12 of which are controlled by one company.

:37:29. > :37:39.There's some limited competition but I would urge everybody not to

:37:39. > :37:41.

:37:41. > :37:46.buy from one company. Prices went up by last -- last winter because

:37:46. > :37:51.demand went up. There is some degree of delivery costs and

:37:51. > :37:57.commodity pricing but if you go out and try and buy diesel or fail

:37:57. > :38:04.today, you will find that these particular companies are 5p per

:38:04. > :38:09.litre more expensive than the local independents. The bottom line is,

:38:09. > :38:12.the Office of Fair Trading has decided not to do anything about it.

:38:12. > :38:22.They did a market report and they are reinvestigating the matter and

:38:22. > :38:25.

:38:25. > :38:34.taking it further. Energy bills have risen significantly but what

:38:34. > :38:38.can be done about it? You have to go back to how we got here. You

:38:39. > :38:48.have got a cartel there of six major companies controlling

:38:49. > :38:51.

:38:51. > :38:55.everything. The very first meeting of the select committee three years

:38:55. > :39:00.ago, I asked a question of the companies, when are going to put

:39:00. > :39:04.your prices up at how much by and none of them would answer because

:39:04. > :39:08.they are all frightened of saying when and how much, our competitors

:39:08. > :39:18.will know and that will make us uncompetitive. He could people

:39:18. > :39:30.

:39:30. > :39:40.fighting against each other. -- you have. You never hear the government

:39:40. > :39:42.

:39:42. > :39:46.talking about other oil-producing nations. We threw away our own

:39:46. > :39:49.resources in this country, particularly the coal industry.

:39:49. > :39:56.There is plenty of rhetoric from of the Prime Minister on this but

:39:56. > :40:01.bills are still going up. The green deal has been introduced and the

:40:02. > :40:09.Energy Act was passed a month ago. The Green deal will change things.

:40:09. > :40:13.The government is making the energy companies pay for the insulation.

:40:13. > :40:19.They're giving some contribution out of their profits but the green

:40:19. > :40:22.deal is going to work for a system at the present stage. If we want to

:40:22. > :40:31.insulate our home and bear in mind there are 10 million homes that are

:40:31. > :40:35.not insulated, so they are an awful lot out there. We have to pay money

:40:35. > :40:45.for it under the old system. Under the new system, you get it for free.

:40:45. > :40:46.

:40:46. > :40:55.That is the green deal. If you really wanted to help older people,

:40:55. > :40:59.you would not have cut the levels of when to fill allows this winter?

:40:59. > :41:03.They will be paid very good summers and it's exactly the same as the

:41:03. > :41:12.last government was doing. It is not the case that their records to

:41:12. > :41:19.the winter fuel allowance. Above 60 years of age, you get �200. �2.1

:41:19. > :41:27.billion is being invested in winter fuel. There is a lot of work being

:41:27. > :41:35.done. The Green dealers not free. The plan is that you will pay by

:41:35. > :41:41.the amount that you will lose. about winter fuel allowance?

:41:41. > :41:51.government was saying it was not going to replace the temporary

:41:51. > :41:52.

:41:52. > :41:59.measure we had last year. If we were in power, it would be better.

:41:59. > :42:04.But let's concentrate on the people who do. The people who do read it.

:42:04. > :42:12.If you had universal payments, everybody who is entitled will get

:42:12. > :42:16.it. Some people desperately need this don't get it.

:42:16. > :42:19.Big changes are being planned for Legal Aid. The system, which gives

:42:19. > :42:22.people on low incomes free legal advice and representation in court,

:42:22. > :42:25.costs the taxpayer �2 billion a year. Ministers want to save �350

:42:25. > :42:29.million of that by targeting Legal Aid on what they believe are the

:42:29. > :42:32.most deserving cases. They also hope more disputes can be resolved

:42:32. > :42:35.outside court. But could that approach leave some vulnerable

:42:35. > :42:44.people without access to justice? Luke Walton has been to meet a

:42:44. > :42:48.Cumbrian family who were helped by the current system.

:42:48. > :42:52.Medical mistakes made during this boy's birth left him with serious

:42:52. > :42:57.disabilities. It left his mother fighting for compensation. Years

:42:57. > :43:02.later came a large payout from the NHS that allows them to get the

:43:02. > :43:06.support he needs. That battle for justice relied on legal aid. It ran

:43:06. > :43:16.into thousands of pounds for a medical report which is something

:43:16. > :43:17.

:43:17. > :43:21.we could not afford to do. The legal aid was vital. It means Simon

:43:21. > :43:26.can live independently and have a property and at his support.

:43:26. > :43:31.Integer, clinical negligence cases are unlikely to qualify for legal

:43:31. > :43:34.aid. The government says families can use no-win no-fee deals as

:43:34. > :43:39.alternative but some liars fear of those on low income will be priced

:43:39. > :43:42.out. No-win no-fee cases won't be the answer because many of them

:43:42. > :43:47.won't be taken on because they will be considered too great a risk.

:43:47. > :43:51.Where does that lead -- leave the claimants were the most profound

:43:51. > :43:57.disabilities? Without the access to justice to obtained the awards of

:43:57. > :44:04.damages that allow them to at least have some degree of independence.

:44:04. > :44:07.It is a concern that stretches much wider. Every year, staff here help

:44:07. > :44:11.thousands of people with their financial and personal problems.

:44:11. > :44:15.But much of this work is funded through legal aid and is now under

:44:15. > :44:20.threat. Managers share-save restrictions to relay it would

:44:20. > :44:27.reduce the bureau's income by a quarter and mean job losses. Among

:44:27. > :44:32.the areas facing cuts are benefit, immigration and housing cases and

:44:32. > :44:42.there will be tougher means testing. The people like me who don't know

:44:42. > :44:46.

:44:46. > :44:50.where to come, there would be nothing for them. We have over 2000

:44:50. > :44:54.clients who use me -- delayed. The vast majority was love problems but

:44:54. > :44:58.they would be able to come here to get the specialist advice they need.

:44:58. > :45:03.Supporters of reform insist that even after the changes, legal-aid

:45:03. > :45:06.will be protected for criminal law and more serious civil cases

:45:06. > :45:11.including care proceedings and domestic violence. They say the

:45:11. > :45:15.current cost is unaffordable. legal-aid system in the country is

:45:15. > :45:18.going out of control. The government has a responsibility to

:45:18. > :45:28.ensure that the money spent is spent wisely. It's also unhealthy

:45:28. > :45:30.

:45:30. > :45:37.for the country as a whole. Far too often, people's first move is not

:45:37. > :45:40.cost-effective. This is one of the alternatives, at this mediation

:45:40. > :45:43.service in Newcastle, divorcing couples are steered towards

:45:43. > :45:48.agreement on issues like child custody and division of assets.

:45:48. > :45:53.Integer, this approach will get extra money from the government.

:45:53. > :46:01.One of the major advantages is that mediation is quicker and cheaper

:46:01. > :46:05.than using the court process. It is designed to work in a more peaceful

:46:05. > :46:09.way. With a legal aid reform did come into force next autumn,

:46:09. > :46:19.agreement on the wider question of access to justice still looks some

:46:19. > :46:20.

:46:20. > :46:24.way off. How happy do you feel about the families like that being

:46:24. > :46:32.denied legal aid? I don't think there will be denied legal aid.

:46:32. > :46:40.There is a �6 million fund to cover extreme cases and of the 100 cases

:46:40. > :46:44.up and down the country, only two were on legal aid. Almost all were

:46:44. > :46:48.on conditional fee agreements. The funding criteria in relation to her

:46:48. > :46:51.legal aid in such cases is almost more rigorous because it's

:46:51. > :47:01.taxpayers' money that is being assessed and it's on a no-win no-

:47:01. > :47:03.

:47:03. > :47:06.fee. Labour let this legal aid bill get out of control. It is sensible

:47:06. > :47:14.to push people towards mediation and keep people out of court.

:47:14. > :47:20.possible, that is what should happen. The Law Society says this

:47:20. > :47:26.will mean six and and 60,000 people a year will lose access to a legal

:47:27. > :47:32.avenue that was there in the past. They still will have alternative

:47:32. > :47:42.means of pursuing a claim. They won't be able to afford to take out

:47:42. > :47:44.

:47:44. > :47:54.solicitors. Some of these people will not take it up. The trade

:47:54. > :47:54.

:47:54. > :48:04.union movement will only support cases that have a 50 -- 50-50

:48:04. > :48:14.

:48:14. > :48:17.chance of winning. The fundamental point is that if you are well off,

:48:17. > :48:22.access to justice remains as good as ever but if you're poor

:48:22. > :48:28.vulnerable it becomes lot worse. That is simply not the case.

:48:28. > :48:36.Disability rights, domestic violence, these are protected. It

:48:36. > :48:43.is clearly best to go forward with mediation. It is a much better way

:48:44. > :48:52.forward. What about a father who can't get access to his children,

:48:52. > :48:57.shouldn't he have legal-aid? He may have the ability to do so. There is

:48:57. > :49:02.still legal aid for certain cases in such circumstances. That is when

:49:02. > :49:06.mediation has broken down. Justice Secretary is being

:49:06. > :49:15.challenged by the Justice select committee and they gave different F

:49:15. > :49:23.-- different answers. We really don't know. People will not be able

:49:23. > :49:32.to challenge public bodies who loved and things wrong to them. --

:49:32. > :49:36.who'll have. You can challenge because there is a thing called the

:49:36. > :49:41.protective costs order. You suggest that almost nobody will be affected

:49:41. > :49:49.by this. We are in the biggest shake-up of welfare payments for

:49:49. > :49:53.decades. People will be affected in the way they find the litigation in

:49:53. > :49:59.the sense that the taxpayer will no longer be funding certain bits of

:49:59. > :50:09.it. But there will be alternative ways forward. Was going to take on

:50:09. > :50:14.

:50:14. > :50:19.the cases of people claiming benefits? -- who is. There are

:50:19. > :50:28.abilities take these things forward. The Law Society is saying that

:50:28. > :50:36.660,000 people won't have access to legal aid. You're on Justice

:50:36. > :50:45.Secretary has said that you would have made similar cast -- cuts. We

:50:45. > :50:55.have to balance the books. Poor people will suffer. Those who need

:50:55. > :51:02.

:51:02. > :51:12.the help the most. If we keep going though this Bill will go up and up.

:51:12. > :51:19.

:51:19. > :51:23.This has gone on and people say it's a compensation culture. But

:51:23. > :51:27.you have to look after people at home and at work. That would stop

:51:27. > :51:31.the compensation culture. And that's about it from us. Both

:51:31. > :51:33.my guests are among a clutch of the north's MPs giving evidence to an

:51:33. > :51:36.inquiry which starts tomorrow in Newcastle looking at the new

:51:36. > :51:39.constituency boundaries in the North East. It continues later in

:51:39. > :51:42.the week with further hearings at Durham Tees Valley Airport. I'll be