Labour has criticised the Conservative Government for defeating its proposal in the House of Commons to introduce a cut to the VAT on household fuel bills, funded by a tax on North Sea oil producers – but the Conservative Party has said there is already a wide reaching package of support for families.

Labour councillor for Whitehaven South, Mike Hawkins said: "This Government seems paralysed by trying to save Boris Johnson. The cost of living is getting knocked back, things like that don't get talked about. The noise is all around the Downing Street parties."

Cllr Hawkins believed families would be impacted by a combination of the cut to Universal Credit and rising energy bills, which are set to reach a peak by April.

"The £20 per week Universal Credit cut added to an increase in bills – there'll be some families having to chose whether they can eat or heat," he said.

The Conservatives have said that schemes such as the Warm Home Discount are a more effective way of supporting struggling families with the cost of energy.

MP for Copeland Trudy Harrison said: "The Government is already committed to a wide range of measures to tackle fuel poverty in both the short and long term.

"The Warm Home Discount is a key policy to tackle fuel poverty and the effects of rising energy prices on low-income households. Launched in April 2011, it has helped over 2.2 million low-income and vulnerable households each year with their energy costs. I am pleased that the Energy White Paper committed to extending the scheme to at least 2025/26 and the Government is committed to expanding it from the current £351 million to £475 million per year, to reach over 750,000 more households.

"I also welcome the new £500m Household Support Fund for vulnerable households who need some extra support over the winter months. The new fund has been available to councils in England since October with councils able to distribute funding within local areas to directly help those who need it most.

Mrs Harrison added: “One of the principal ways we will tackle fuel poverty in the long-term is to improve the energy efficiency of homes. In the Clean Growth Strategy, we set out our aspiration for as many homes as possible to be Energy Performance Certificate Band C by 2035, and where possible, to reach this standard by 2030 for fuel poor homes.”

Prime Minister Boris Johnson has discussed rising energy costs with Chancellor of Exchequer Rishi Sunak and is reportedly considering a package of support.