Households are being urged to check their energy bill before August 23 to ensure they receive the £150 Warm Home Discount this winter. The rebate goes to households where someone claims means-tested benefits, but the claimant's name must appear on the energy bill for the discount to be paid automatically.
Around six million households are expected to get the rebate, which is credited directly to the energy account rather than a bank account. The discount is normally applied between late October and March to cover the coldest months.
Energy Secretary Miatta Fahnbulleh said: "Families will be worried about their energy bills this winter and our focus is on giving them breathing space, as we continue to work to bring down bills. Almost a million more families with children received the £150 Warm Home Discount last winter, after we expanded [the] scheme. If you know someone who might benefit, please start spreading the word and encourage them to check they are named on their energy bill."
Who qualifies for the £150 rebate
In England and Wales, households automatically qualify if someone claims Universal Credit, Housing Benefit, income-related Employment and Support Allowance (ESA) or Pension Credit.
In Scotland, the automatic discount applies to households where someone claims Pension Credit, an extra amount of Universal Credit because of a disability or health condition, or a disability or pensioner premium of income-related ESA. It also applies to those with a disability or pensioner premium and a Support for Mortgage Interest loan.
Extra eligibility for families with young children
Households with a child under five living with them also get the discount automatically if the child's parent or partner is unemployed and receives Universal Credit, receives income-related Employment and Support Allowance, or has a Support for Mortgage Interest loan.
Those who do not receive the discount automatically must apply directly to their energy supplier.
VAT cut and rising price cap
Prime Minister Andy Burnham has announced plans to remove VAT from domestic electricity bills from October, which the Government says will save the typical household £45. Analysts, however, say the saving is likely to be offset by an expected rise in the Ofgem price cap.
Energy bills rose 13% last month. The price cap for a typical household paying by direct debit is now £1,663, although Ofgem has updated the way it calculates the cap – under the old methodology, the cap would be £1,862.
