Approximately six million households across the United Kingdom are set to receive a £150 reduction on their energy bills later this year under changes confirmed by former Prime Minister Keir Starmer before his resignation. The expansion of the Warm Home Discount (WHD) scheme is expected to double the number of households eligible for support, making it one of the final major cost-of-living measures announced by Starmer before handing power to incoming Prime Minister Andy Burnham.
Expanded Eligibility for Universal Credit Recipients
Under the new rules, every household receiving Universal Credit will qualify for the £150 discount. Previously, only certain claimants were eligible, according to Birmingham Live. The changes will also extend support to some of the poorest pensioners, as well as people receiving benefits such as Housing Benefit and Employment and Support Allowance (ESA).
How the Warm Home Discount Works
The Warm Home Discount provides a one-off £150 reduction on electricity bills or a top-up voucher for customers using prepayment meters. Energy suppliers are expected to apply the discount automatically between November and January, helping households manage higher heating costs during the winter months.
Context of Rising Energy Costs
The support comes as families face fresh pressure from rising energy costs. From July, the average household energy bill is expected to increase, leaving many worried about affordability as colder weather approaches. Earlier this year, Starmer promoted the expanded scheme as a key part of Labour's efforts to ease the cost-of-living crisis.
Starmer's Parting Policy Legacy
We're taking £150 off energy bills. That's £300 for the six million poorest families, Starmer said. That's the difference a Labour Government makes. For many households, the £150 discount will now stand as one of Starmer's final policy legacies before his departure from Downing Street.
Automatic Application and Future Outlook
Most eligible households will receive the discount automatically, meaning no separate application will be required. The reduction is expected to begin appearing on energy accounts from November. With Burnham preparing to enter Number 10, attention is beginning to turn to whether the incoming administration will build on the support package or introduce further measures to help families cope with rising living costs.
