Seven energy suppliers have jumped the gun and are already welcoming applications for this year's Warm Home Discount Scheme.
In England and Wales, most qualifying households will automatically get a £150 cut on theirenergy billthis winter, but Scots will mostly need to apply directly with their supplier.
While applications typically open in October,Money Saving Expert (MSE.com) has revealed that seven energy firms are now taking applications. The list includes Scottish Gas, British Gas, Octopus Energy, Co-op Energy, So Energy, Good Energy and Utility Warehouse.
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The savvy team at MSE.com is advising people "don't delay, as it's first come, first served". Thanks to the UK Government's Plan for Change, over 6 million homes will feel the warmth of a £150 discount this winter, credited straight to their energy provider.
That's an extra 2.7 million homes getting help, including 900,000 more families with kids and a total of 1.8 million homes grappling with fuel poverty.
Now, every household on means-tested benefits will be eligible, ditching old rules that left many out in the cold and offering comfort to millions more families, reports the Daily Record. This policy shift means homes will be cosier with the discount for the very first time this winter.
Energy consumers minister Miatta Fahnbulleh recently commented on the scheme's growth: "We took decisive action earlier this year to expand the Warm Home Discount, giving more working families certainty and peace of mind before winter."
"I now want to make sure as many eligible households as possible get £150 off their energy bill, putting more money in their pockets as part of our Plan for Change."
"If you know someone who might be eligible - please start spreading the word to family and friends, encouraging them to check they are named on their energy bill."
Warm Home Discount qualifying benefitsFolks in England and Wales will be in line for the Warm Home Discount this chilly season if they're on one of the listed means-tested benefits and their name's on the electricity bill – could be their own, their partner's, or their legal rep's.
- Housing Benefit
- Income-related Employment and Support Allowance (ESA)
- Income-based Jobseeker’s Allowance (JSA)
- Income Support
- Pension Credit (Guarantee Credit and Savings Credit)
- Universal Credit
For the older generation up in Scotland getting Pension Credit Guarantee Credit and with their name (or that of their partner or legal representative) on the electricity bill, the DWP reckons "you will likely receive the Warm Home Discount automatically".
Scottish homes on other means-tested benefits will have to reach out to their supplier directly to snag the discount once applications kick off.
The time frame for applications is a mixed bag across suppliers, so it's best to hop onto your provider's website and suss out when they'll open the doors for winter 2025/26. You can dig into the nitty-gritty of the Warm Home Discount Scheme over at GOV.UK.
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October energy bill increaseOfgem recently declared that household energy bills will see a two per cent increase under the price cap this Autumn. The industry watchdog confirmed last month that annual energy bills for millions of households on the standard tariff - with typical average usage - will rise from £1,720 to £1,755 from October 1, marking an increase of £35 over the next year.
This hike will result in an approximate monthly increase of £2.93 for the average household, meaning a home on a default tariff will be paying £102 for what currently costs £100 per month. The latest statistics reveal that more than a third of customers (37%) are now on fixed tariffs, thus shielding them from the impending rise.
Every three months, Ofgem adjusts the price cap for households by setting a maximum price that energy suppliers can charge people in Scotland, England and Wales for each kilowatt hour of energy they consume.
However, it's vital to bear in mind that the price cap does not limit a household's total energy bills - individuals still pay for each unit of gas and electricity they use. This means the more you use, the higher the bill and conversely, the less you use, the lower the costs.
The price cap will remain in effect from October 1 until December 31, 2025.
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