How we’ve spent our available allowances VCMA
Across GD2, NGN utilised 99% of its total VCMA allocation, equating to £24.88 million of investment. Delivery was achieved through a portfolio of over 100 projects in the final year, working with around 90 delivery partners. Investment was primarily focused on fuel poverty, energy affordability and priority customer support, reflecting stakeholder priorities and increasing levels of need.
Over 444,000 households were supported directly, more than 23,000 carbon monoxide alarms were distributed, and over £32 million of financial benefit was enabled for customers. Social value outcomes remained strong, with an average SROI between £5 and £9 for every £1 invested.
2021/22
Establishing VCMA foundations
Collaborative programmes
CO awareness at scale
2022/23
Crisis response and support
Cost-of-living help
Fuel vouchers and debt advice
2023/24
Strategic expansion
Health and hardship focus
Scaling successful pilots
Tier impact model
2024/25
Consolidation and depth
Depth and breadth
Growing centres for warmth
Services Beyond the Meter (SBtM)
2025/26
Transition and sustainability
Preparing for GD3
Sustaining key projects
Additional winter support
Customer Support Fund:
During 2025/26, NGN continued delivery of its shareholder-funded programmes to address gaps not covered through VCMA, including the continuation of the Off Gas Warmth project, which predominantly supports customers of pensionable age experiencing low income and multiple health conditions. In addition, the Health Through Warmth project was reintroduced to provide funding for the repair and replacement of heating systems for high-risk households that are not eligible for VCMA support.
Spend during the final year was strategically informed by stakeholder and partner feedback, with a focus on balancing longer-term interventions for the most at risk households alongside the provision of immediate crisis support. This included continued support for first-time gas connections, central heating installations and essential repairs, as well as maintaining enhanced compensation payments for PSR customers affected by emergency supply interruptions.
Community Partnering Fund:
During 2025/26, NGN identified a geographical gap in project delivery across the Tees Valley and wider North-East region and in response, established a targeted partnership with Point North (formerly County Durham Community Foundation) to support the development of locally embedded initiatives. Through this approach, six new projects were funded to address unmet need and strengthen community-level support provision, delivered by The Big League CIC, Advice at Hart CIC, Footprints in the Community, Middlesbrough Environment City, Teesside Lupus Support Group, and West View Advice & Resource Centre Limited. This targeted investment reflects a continued commitment to addressing geographic disparities in provision, supporting grassroots organisations, and enabling locally tailored interventions to reach customers in vulnerable situations.
