NEW figures have revealed a drop in the number of North- East families living in fuel poverty.

However, the region remains one of the worst affected in the country, with one in five households struggling to pay their heating bills.

According to the 2012 Annual Report on Fuel Poverty released by the Department of Energy and Climate Change (Decc), 21 per cent of households in the North-East were living in fuel poverty in 2010, compared to 24 per cent in 2009.

The fall was mainly due to rising incomes, relatively stable energy prices at the time and reduced energy consumption, experts said.

It is thought a 59 per cent increase in the proportion of households with cavity wall insulation between 2004 and 2010 helped cut the number of fuel poor families in the region.

The report added: “The North-East also had the highest percentage of households with loft insulation thicker than 150mm in 2010.

“What’s more, the proportion of insulated homes increased by over 50 per cent in the North-East between 2004 and 2010.”

The West Midlands has now replaced the North-East as the region having the highest percentage of fuel poor households.

Fuel poverty levels in Yorkshire and Humberside did not change between 2009 and 2010, remaining at 20 per cent.

Energy and Climate Change Minister Greg Barker said he was encouraged by the fall in fuel poverty.

But he added: “There is no room for complacency.

“Fuel poverty remains a serious national problem and the coalition is absolutely committed to tackling it.

“People can still get help with heating and insulation through Warm Front and about two million households will get money off their energy bills this year through the Warm Home discount scheme.”

Despite the drop, children’s charity Barnardo’s has repeated calls for energy companies to behave responsibly by ensuring that the poorest families are on the lowest energy tariffs.

The rise in energy prices last year is expected to increase the number of households in fuel poverty again, although the figures will not be published until 2013 and 2014, Decc said.

Households are considered to be in fuel poverty if they have to spend more than ten per cent of their income on fuel.