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Daily Record
Daily Record
Lifestyle
Linda Howard

New £400 energy bill rebate update for households not directly paying for their supply

Chancellor Rishi Sunak announced in May that every domestic electricity customer across the country will receive a £400 discount off their energy bill from October in a new effort by the UK Government to help millions of households cope with the cost of living crisis.

Along with doubling the £200 of support announced earlier this year, the full £400 payment will now be made as a grant, which means it does not have to be repaid. Energy suppliers will deliver this support to households with a domestic electricity meter over six months from October.

However, not everyone will receive the extra financial help to tackle the next Ofgem price cap rise, which is expected to be more than £2,800, and there is still some confusion around eligibility - especially for people living in mobile homes, using off-grid gas supplies or having bills paid by their landlord.

This week, Shadow Minister for International Trade, Ruth Cadbury MP, asked the Secretary of State for Business, Energy and Industrial Strategy, what steps the UK Government “has taken to ensure that people who receive their energy supply through a third party can receive the £400 energy grant”.

In a written response on June 16, Energy Minister Greg Hands MP, said that the UK Government knows that there will be “different considerations for consumers depending on their circumstances” and the way in which they pay their energy bills.

He explained: “All domestic electricity customers who have a direct relationship with a licensed electricity supplier will be automatically eligible for this Scheme.

“The [UK] Government continues to work closely with consumer groups and suppliers to deliver the Scheme in a convenient way to domestic energy customers, including those who receive their energy supply through a third party.”

Last week Mr Hands responded to a similar query from Ayrshire and Arran MP, Patricia Gibson, who asked about ensuring people living in mobile homes, including those who are elderly and vulnerable, can access support for their energy bills this winter.

In a similar response, the Energy Minister, also said that the UK Government has raised this in its technical consultation on the Energy Bills Support Scheme.

The responses to this consultation are currently being analysed and a response is due to be published later in the summer.

Mr Hands said: “Vulnerable consumers, including park home residents will be eligible for £140 contribution towards their energy bills each winter through the Government’s Warm Home Discount Scheme.

“It is anticipated that the Park Homes Warm Home Discount scheme will re-open again in September 2022. Other support available includes the Winter Fuel Payments and Cold Weather Payments.”

To keep up to date with the cost of living crisis, join our Money Saving Scotland Facebook group here, follow Record Money on Twitter here, or subscribe to our twice weekly newsletter here.

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