The £400 rebate, administered by energy suppliers, will be paid to millions of households over six months from October to ensure consumers receive financial support throughout the winter months. It comes as people across the country struggle with rising energy prices and skyrocketing inflation in the worst cost-of-living crisis in decades. Despite announcing the £400 discount, MPs have warned that millions of people face “unmanageable debt” if the government does not update the energy support package before winter. Setting out the Energy Bill Support Scheme, the government said those with domestic electricity meter points who pay for their energy by standard credit, payment card and direct debit will receive an automatic discount on their bills. Meanwhile, traditional prepaid meter customers will be provided with Energy Bill discount vouchers in the first week of every month, issued via SMS, email or post, using the customer’s registered contact details. These customers should make arrangements to redeem them at their usual top-up point, such as their nearest local PayPoint branch or Post Office. Questions about how the discount will work – for example for people whose bills are included in their rent – have swirled since the policy was announced earlier this year. Read more: Energy price cap set to double in January, experts warn Chancellor Nadhim Zahawi said: “We know people are struggling with rising energy prices and that’s why we’ve put in place supportive measures over the winter months to help ease the pressure on household budgets. “These £400 energy bills are part of £37 billion of help for households, including eight million of the most vulnerable households receiving £1,200 direct support to help with living costs.” Households will get £66 off their energy bills in October and November, rising to £67 every month from December to March 2023. The non-refundable discount will be provided on a monthly basis regardless of whether consumers pay monthly, quarterly or have an associated payment card. Households most in need will be eligible for further support in addition to the energy bill discount, including: • £650 one-off Living Cost for around 8 million households on means-tested benefits • £300 one-off Pensioner Living Cost for over 8 million pensioner households to be paid alongside the Winter Fuel Payment • £150 one-off Disability Cost of Living Payment for approx six million people across the UK who receive certain disability benefits