Pensioners are being urged to check if they are eligible for a discount worth £150 before energy bills rise in October. It comes after Ofgem confirmed its new energy price cap will rise by around 4% from October 1. The increase will take the annual bill for a typical household paying by direct debit from £1,663 to £1,723 on average.
Brits are advised to make a few simple checks before higher prices take effect next month, including their eligibility for help with energy bills.
Warm Home Discount scheme reopening
This includes the Warm Home Discount scheme which will reopen in October. The government-backed initiative offers a one-off £150 reduction applied directly as credit to your electricity bill between October and March. The money is designed to help low-income and vulnerable households with their energy costs during the coldest months.
Rob Nezard, heating expert at UK Radiators, said: "The Warm Home Discount is usually a credit applied to eligible customers’ electricity bills, rather than a cash payment. Being a pensioner does not automatically qualify someone: eligibility depends on the scheme’s rules, including qualifying benefits and where they live."
Eligibility details and how to apply
Most eligible households receive it automatically, although some customers in Scotland may need to apply through their supplier. The scheme is not available in Northern Ireland. Nezard added: "One easily missed detail: people using prepayment meters can qualify too. Eligible customers should ask their supplier how they will receive the discount, which could be through a top-up voucher."
The GOV.UK website states: "The Warm Home Discount Scheme is a one-off £150 discount off your electricity bill. If you’re eligible, your electricity supplier will apply the discount to your bill. The money is not paid to you. You’ll usually get the discount automatically if you’re eligible. You may need to apply directly to your energy supplier if you live in Scotland. You may be able to get the discount on your gas bill instead if your supplier provides you with both gas and electricity and you’re eligible. Contact your supplier to find out."
Who qualifies for the discount
To qualify for the scheme, your name (or your partner’s name) must have been on the household electricity bill on the official qualifying date, which was August 23. In England and Wales, you will qualify automatically if you receive any of the following: Pension Credit (either the Guarantee Credit or Savings Credit element), Universal Credit, Housing Benefit, Income Support, Income-related Employment and Support Allowance (ESA), or Income-based Jobseeker’s Allowance (JSA).
In Scotland, if you receive the Guarantee Credit element of Pension Credit or Universal Credit, you will generally receive the discount automatically. Meanwhile, if you are on a low income or receive other means-tested benefits, you must apply directly to your energy supplier.
The GOV.UK website adds: "You can still qualify for the discount if you use a pre-pay or pay-as-you-go electricity meter. Your electricity supplier can tell you how you’ll get the discount if you’re eligible, for example a voucher you can use to top up your meter."
