The soaring cost of home energy bills has left many families feeling the heat, especially after last week's dreaded energy price cap increase.
Millions of households who are struggling with the rising cost of heating their home - alongside other cost of living increases - are panicking about how they will pay their bills when they come in. But there are several schemes to help stretch family budgets that little bit further - some are well known, but some are not.
Everyone who pays an energy bill will be getting a £200 Government 'loan' in October, credited to every electricity account to help offset the increase in bills. It is not optional and will be repaid over five years starting in April 2023. The Government released more information about the controversial scheme earlier this week, and is launching a consultation about it soon, in the wake of complaints from people who don't want it.
Read more: What is the £200 energy bill discount and can I opt out of it?
Below, we have rounded up most of the other help available to pay your fuel bills.
Council Tax rebate
More than 80% of homes will also receive a £150 rebate from the local council to help pay energy bills. You’ll get the rebate automatically if you pay Council Tax and your home is in bands A to D, but you might also be able to get help if you're in bands E to H and you get certain benefits. You will automatically also get the rebate if your home is in band E and you get the Disabled Band Reduction discount.
If you pay your Council Tax by direct debit, your local council will pay the £150 directly into your bank account this month. If you don’t set up a direct debit, your local council will have to contact you for bank details. This means it might take longer before you get the money, so it might be worth setting up a direct debit to get your payment, then cancelling it if you prefer to pay another way.
Winter Fuel Payment
If you are a pensioner, you will automatically be paid a Winter Fuel Payment every year in November or December. The payment is between £100-£300 depending on your circumstances and age. Find out more here.
Warm Home Discount Scheme
If you're on a low income or getting the guarantee part of Pension Credit, you might be able to get £140 off your electricity bill or a £140 voucher for your prepayment meter. You can get this under the Warm Home Discount Scheme. Find out more here.
The money is not paid to you - it’s a one-off discount on your electricity bill, between October and March. It's closed now for this year, but will reopen in October. Anyone getting pension credit gets the bill discount automatically. Other who are eligible because they are on a low income need to apply.
Cold Weather Payment
Another automatic payment to low income families is the £25 Cold Weather Payment, which is made automatically, including to those on Universal Credit, for each seven day period of low temperatures. In the coldest areas three £25 payments have been made so far this winter, adding up to £75 in total. The scheme closed on March 31 but you should make sure you got the payment if you're eligible. Find out more here.
Help from Energy companies
Some energy companies have set up charities and grants you can apply to to get financial assistance for bills, including British Gas's new hardship fund, which is open to everyone, not just British Gas customers. The amount can vary according to your supplier and your circumstances, and you could qualify if you're on certain benefits and have a low income. Your energy supplier may also be able to help with a grant if you’re in debt, which will help pay it off.
The following energy suppliers offer grants to their customers:
- British Gas Energy Trust - apply here
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Bulb Energy Fund - apply here
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EDF Energy Customer Support Fund - apply here
- E.ON Energy Fund - apply here
- E.ON Next Energy Fund - apply here
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Npower's energy fund - apply here
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Octopus ‘Octo Assist Fund’ - apply here
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Ovo Energy Fund - apply here
- Scottish Power Hardship Fund - apply here
Local energy grants
Some local councils offer grants and schemes to help you pay for or manage your energy usage. For instance, County Durham residents can access its Managing Money Better service, which can visit your home to carry out a free home energy assessment, while families living in Sunderland may be eligible for the Eco Flex scheme, which offers help with energy-efficient measures, including new boilers if yours is more than 12 years old.
Check if you can get a local energy grant on the Simple Energy Advice website.
If you can't afford to top up your prepayment meter
You might be able to get a fuel voucher. This is a code given to you in a letter or in a text message or email. You can use it to add credit to your gas card or electricity key. Your local council might be able to help you get a fuel voucher, which can be used at a PayPoint or Payzone shop or Post Office.
National charities
A few charities who are offering free cash to hard-up households feeling the pinch. Whether you're eligible for the help will vary depending on which charity it is, and your personal situation.
Cancer charity Macmillan has launched a new fund worth £3.5m to help people living with cancer and struggling with their bills - including energy costs. Its Financial Grants scheme, which has already dished out £1.6m since the start of the year. It comes as a means-tested one-off payment of up to £350.
To be eligible, you need to savings of less than £6,000 (£8,000 for a household of two or more people) and have an income of £323 or less per week or no more than £442 per week for a household of two or more people. To apply, call 0808 808 00 00.
The F uel Bank Foundation offers vouchers to help families with their energy bill costs. You can get the vouchers at foodbanks - so you can only get the emergency help if you're also struggling with food costs.
Families can get £49 worth of fuel vouchers in the winter months, and £30 from April 1 to October 31. To apply for the help, you'll need to contact Citizens Advice, a social worker or a GP to refer you to a foodbank.
Let's Talk Charis manages energy funds and grants on behalf of a number of big energy companies. The Charis Let's Talk Energy Fund means you can get help paying your bills as well as replacing pricey appliances like boilers. The fund will reopen again in September so it's worth making a note of the date. You can register your interest for the fund when it reopens here.
Smaller charities
It's also worth checking small charities to see if there's anything available for your very specific circumstances - for instance, The Rainy Day Trust can help with grants to help with utility bill arrears, grants to buy heating oil in the summer when prices are lower ready for the colder winter weather, or payments made direct to utility companies if you work in, or have you worked in, the home improvement or home enhancement sector. Email info@rainydaytrust.org.uk for more information.
