Who is eligible?
The energy bill support scheme applies to consumers in England, Scotland and Wales. All households in Great Britain with a domestic electricity connection are eligible for support. 1% of homes without a connection – including those without a direct link to an energy supplier, such as residents of park homes – will receive equivalent financial help, with more details to be announced in the autumn. The government said it was “working urgently” to ensure households in Northern Ireland received the equivalent of the support “as soon as possible”.
When will it be paid?
Millions of households in Great Britain will receive a £400 discount on their energy bills this winter. Photo: Rosemary Calvert/Getty Images The £400 discount will be paid in six monthly installments from October this year. In October and November, households will get £66 off their energy bills. This will rise to £67 a month from December to March 2023. It will be paid on a monthly basis, regardless of when consumers usually pay their bills.
How will I get the money?
How households receive the rebates depends on the type of electricity meter they have and how they pay their energy bills. Direct debit customers will automatically receive a hold on the amount collected or a refund to their bank account after the bill is paid. Standard Credit, Payment Card and Prepaid Smart Meter customers will see the discount automatically applied as a credit the first week of each month. How households will receive the rebates depends on the type of electricity meter they have. Photo: Stocksolutions/Alamy Households with a traditional ‘non-smart’ prepaid meter will receive vouchers the first week of each month, issued by text, email or post. Customers will be able to redeem them at the normal top-up point. Students and other tenants who rent properties where energy bills are included in their rent should also receive the payment. “In these circumstances, landlords who resell energy to their tenants should pass on rebate payments appropriately, in line with Ofgem’s tenant protection rules,” the guidance says.
What are the disadvantages?
The government has warned consumers to be alert to potential scammers claiming to be involved in the energy bill payment process and stresses that you will not be asked for your bank details during the process. If this is a paper voucher we would like to ensure that users do not ignore posts from their supplier Maureen Fildes of National Energy Action Charities and campaigners have raised concerns that the more than 2 million “non-smart” prepaid meter customers, who include some of the country’s poorest and most vulnerable households, may struggle to access support. Maureen Fildes of fuel poverty charity National Energy Action said she feared some people using pre-paid meters might struggle to get the vouchers. “A lot of people on prepaid meters don’t have a lot of interaction with the energy supplier. they just fill in as and when needed,” he told the BBC. “If it’s a paper coupon, we want to make sure people don’t ignore the posts from their supplier. It’s not going to be another bill. it will be some level of support.”
What other support is available?
There is other government support available to help families facing the rising cost of living, including a one-off payment of £650 for around 8 million households for means-tested benefits. Rules set by Ofgem mean suppliers must offer payment plans that people can afford. Photo: Yui Mok/PA Pensioners claiming the winter fuel payment will also receive a £300 lump sum payment at the same time and there is a £150 cost of living payment for around 6 million people claiming certain disability payments. Households struggling with their energy bills should contact their supplier as there may be other help available, such as a hardship fund or payment plans to pay off the debt. Rules set by Ofgem, the energy regulator, mean suppliers must offer payment plans people can afford, and customers can claim ’emergency credit’ if they use a pre-paid meter and can’t top up.