Help with energy bills

This Library briefing sets out sources of financial and practical help for constituents with domestic energy bills. This briefing focuses on schemes that individuals can access via the government and local authorities, rather than those aimed at local authorities or housing associations. It covers targeted schemes and provides information on practical steps such as supplier switching, joining priority services registers, and making complaints. It also provides links to useful resources.

Support schemes covered include:

• Winter Fuel Payment, is a tax-free annual payment to help older people meet the cost of their winter fuel bills in England and Wales. Starting from November 2024, the Winter Fuel Payment will no longer be paid to people unless they receive Pension Credit, certain other means-tested benefits, or tax credits. The Social Fund Winter Fuel Payment Regulations 2024 will be coming into force 16th September 2024 for England and Wales only.

• Cold Weather Payments are made to certain recipients of Income Support, income-based Jobseeker’s Allowance, income-related Employment and Support Allowance, Universal Credit, or Pension Credit in England, Wales and Northern Ireland during periods of very cold weather. The 2024/25 scheme will start on 1 November 2024 and until 31 March 2025 will be made. It will not affect other benefits.

• The Winter Heating Payment is the Scottish replacement for the Cold Weather Payment, and the amount paid to eligible households does not depend on weather conditions. Winter Heating Payment will be paid from December 2024.

• The Household Support Fund, allows local authorities (County Councils and Unitary Authorities) in England to make discretionary payments to people most in need to help towards the rising cost of food, energy, and water bills and wider essentials. Authorities can provide a basic safety net support to an individual, regardless of their immigration status, such as individuals with no recourse to public funds. Government funding for the Household Support Fund was due to expire at the end of September 2024 but has now been extended to the end of March 2025. Payment will be made in arrears until December 2024/January 2025.

• The Warm Home Discount Scheme provides a discount of £150 off electricity bills between October and March for eligible customers in England, Wales and Scotland. Eligible customers are essentially those who get theGuarantee Credit element of Pension Credit or have a low income and high energy costs. Electricity suppliers will apply the discount to the bill automatically in England and Wales if eligible. In Scotland people on low income need to contact their energy suppliers to apply.

• The Affordable Warmth Scheme is Northern Ireland’s equivalent of the Warm Home Discount scheme addressing the effects of fuel poverty and energy inefficiency. The scheme is directed at low-income households and provides grant supports of up to £7,500 depending on the energy efficiency measures recommended by the Technical Officer. For houses in need of solid wall insulation, the grant-aid pays up to £10,000.

The government’s Help for Households website has advice on actions that households can take to cut their energy use and save money this winter. Its webpage on Help with your energy bills has links to various cost of living and energy bill support schemes.

The following Library briefings provide more information on energy bills and wider support available to help constituents with these:

• Rising cost of living in the UK (July 2024):  Covers rising prices including food and energy inflation, Government support, and how the cost of living affects households. Provides an overview of the period of high inflation between the end of 2021 and mid-2024.

• Gas and electricity prices during the ‘energy crisis’ and beyond (September 2024):  Energy prices have fallen since summer 2023, but are still well above pre-‘energy crisis’ levels and are forecasts to increase in autumn 2024. This briefing covers latest data on wholesale gas and electricity prices, the Energy Price Guarantee, the price cap and prospects for changes to prices in the future.

• Domestic energy prices (July 2024):  This paper details the reasons behind household energy bills which typical increased by 54% in April 2022 and 27% in October 2022. Lower wholesale prices have led to falls in prices, but bills remain around 29% above their winter 2021/22 levels.

• Help with energy efficiency, heating and renewable energy in homes(January 2024):  This briefing outlines the available financial support for installing energy efficiency, heating and renewable energy in homes. Covers the various support schemes to support domestic energy efficiency, heating and power generation, which households may be able to access.

• Heat networks and energy prices(April 2022):  Heat networks customers have reported price rises of up to 700% since late 2021. Heat networks are not currently regulated, and most customers are not covered by the energy price cap. This briefing looks at existing and proposed regulation, and support for constituents struggling with bills.

• Constituency casework: What benefits might people claim (May 2023):  Summarises how people can find out what social security benefits or tax credits they might be able to claim. This information should not be relied upon as legal or professional advice.