Millions more to get £150 off energy bills under new Warm Home Discount rules

MILLIONS of households in Britain will receive £150 off their energy bills this winter after the government changed the eligibility rules for the Warm Home Discount.

People on means-tested benefits will now automatically qualify for the discount, regardless of their property's size or energy score. This change is expected to extend support to 2.7 million additional households, including nearly a million with children.

The discount is funded and distributed by energy companies across England, Scotland and Wales, but the government decides who qualifies. Under the previous rules, only those on the guaranteed element of pension credit or on means-tested benefits living in homes with a high energy score were eligible.

Simon Francis from the End Fuel Poverty Coalition told BBC: "With bills still hundreds of pounds higher than in 2020, millions will continue to face unaffordable energy and cold, damp homes this winter."

The expansion of the scheme follows the government's recent decision to reinstate the Winter Fuel Payment for most pensioners.

Although energy companies will cover the cost of the expanded discount, it may be passed on to all customers through a rise in the Standing Charge, BBC reported. The government says savings from reduced energy company spending and improved debt management will offset this.

Energy UK's chief executive Dhara Vyas welcomed the move and said she hoped for "a new improved targeted support scheme".

Chancellor Rachel Reeves recently confirmed £13.2bn for the government's Warm Homes Plan to improve energy efficiency in homes.