Millions of households are set to receive a £150 reduction on their energy bills this winter if they are eligible for certain benefits. The Warm Home Discount is a direct deduction applied to gas and electricity bills, or provided as a voucher for prepayment customers.
To qualify for the Warm Home Discount in England and Wales, individuals must be receiving specific benefits from the Department for Work and Pensions (DWP). Energy suppliers will automatically verify customer eligibility starting from August 24, and the discount is typically applied in October or November.
Residents of England and Wales are automatically enrolled for the Warm Home Discount if they meet the criteria. In Scotland, automatic eligibility applies to those receiving the Guarantee Credit part of Pension Credit, while applicants receiving other benefits must apply through their energy supplier.
There is no Warm Home Discount scheme in Northern Ireland. Over six million individuals are expected to be eligible for the discount this winter.
The Department for Energy Security and Net Zero (DESNZ) has decided to eliminate the high-cost-to-heat threshold for the Warm Home Discount in England and Wales. Previously, this criterion determined whether a property was considered to have high energy costs.
Following a 7% decrease in energy bills since July, households paying by direct debit have seen their annual bills decrease from £1,849 to £1,720. For prepayment meter users, the average annual bill has dropped from £1,803 to £1,672. Those paying upon receipt of the bill have experienced a reduction from £1,969 to £1,855 annually.
Minister for Energy Consumers, Miatta Fahnbulleh, emphasized the importance of spreading awareness about the Warm Home Discount to eligible households to ensure they benefit from the £150 reduction on their energy bills.