The Department for Work and Pensions (DWP) has confirmed that a significant £150 energy bill reduction is being rolled out to households across the UK through the Warm Home Discount scheme.
Who qualifies for the £150 discount?
Eligibility for this crucial financial support hinges on one key date: August 24, 2025. To qualify, you or your partner must have been claiming one of the specified means-tested benefits and be named on the electricity bill on that exact date.
The government has provided a full list of qualifying benefits. You could be in line for the £150 help if you were receiving:
- Income-based Jobseeker’s Allowance (JSA)
- Income-related Employment and Support Allowance (ESA)
- Income Support
- Universal Credit
- Housing Benefit
- The ‘Savings Credit’ element of Pension Credit
This expansion of the scheme is a major development, as it moves beyond the previously restrictive criteria that limited support primarily to those receiving the Guarantee Credit element of Pension Credit.
How will you receive the payment?
This one-off discount is not typically issued as a cash payment. For most households, the £150 will be applied directly to their energy bill by their supplier.
However, there is an important provision for those using pre-payment meters. Depending on the supplier, these customers may receive the discount in the form of a voucher, which can then be used to top up their meter.
The DWP has already begun the process of notifying eligible households. Confirmation letters are being sent between October 2025 and January 2026.
What if your energy supplier has changed?
A particular concern for some is what happens if their previous energy provider is no longer trading. The government guidance assures that you could still qualify for the Warm Home Discount.
In such cases, the energy regulator Ofgem will assign you a new provider. It is recommended that you contact this new supplier directly to discuss your eligibility and ensure the discount is applied to your account.
This year's scheme is more extensive than ever before. It is now estimated that around six million households will benefit from the discount, with an additional 2.7 million included due to the recent expansion of the eligibility criteria.
For more detailed information on the Warm Home Discount scheme, you can visit the official GOV.UK website.
