Government confirms £400 energy bill discount

It comes as the government publishes details of its Energy Bills Support Scheme, which will provide energy bill discounts to 29 million households in Great Britain. Households will see a discount of £66 applied to their energy bills in October and November, rising to £67 each month from December through to March 2023. 

Domestic electricity meter point users paying for their energy via standard credit, payment card and direct debit will receive an automatic direction to their bills. Traditional prepayment meter customers, meanwhile, will be provided with an energy bill discount voucher in the first week of each month - issued via SMS text, email or post, using the customer’s registered contact details. 

This package of measures also sees further funding being made available to provide equivalent support of £400 for energy bills for the one percent of households who will not be reached through the scheme. This includes those who do not have a domestic electricity meter or a direct relationship with an energy supplier. 

The government is also taking steps to protect consumers from the risk of fraud, gaming and non-compliance. Suppliers will be expected to report to government action they’re taking to ensure support has been passed on to consumers, including notifying customers in writing they’ve received the discount from the government. 

Households most in need will also be eligible for further support, including a £650 one-off cost of living payment for around eight million households on means-tested benefits and a £300 one-off pensioner cost of living payment. 

There will also be a £150 one-off disability living payment and a £500m increase and extension of the household support fund available to councils to support the vulnerable with the cost of essentials.