Chancellor Rishi Sunak is planning two more moves to help millions of people pay for soaring gas and electricity bills, according to reports. Mr Sunak will increase the warm home discount and cut taxes so homes can more easily afford to pay for gas and electricity.
According to The Times, the Treasury is looking at increasing the warm home discount - which has given people £150 off their bills - up to a one off payment of £600. And Mr Sunak is also looking at cutting either income tax by 1p or VAT. The warm home discount was introduced in 2011 and gives the poorest households a discount on their heating bills. It is assessed differently in different parts of the UK.
Treasury officials have drawn up a range of options, including a one-off increase of £300, £500 or even £600 to help households to cope with soaring energy prices. In the past, people in Wales and Scotland have been eligible for the warm home discount if they spend more than 10% of their household income on energy costs. In England people qualify if they have a low income and high household costs.
