Millions of households across the UK are being urged to check whether they are eligible for a free £150 payment to help with rising energy bills this winter, as the Government announces plans to expand the Warm Home Discount scheme. The move could see nearly three million additional families qualify for support under proposals designed to ease the cost of living during the colder months.
The Warm Home Discount provides a one-off payment of £150 to help low-income and vulnerable households with their energy bills between October and March. Although this expansion is technically under consultation, ministers have made it clear that they intend to proceed with the changes.
Under the current rules, only those on Universal Credit or Employment and Support Allowance can access the £150 payment if they are assessed as having “high energy costs.”
However, the Government now plans to remove this “high energy costs” requirement entirely, making the scheme far more inclusive.
This adjustment means that around one in five UK families, an estimated 6.1 million additional households, could benefit from the payment next winter.
The announcement follows Ofgem’s confirmation of a 6.4% rise in the energy price cap, which is expected to further squeeze household budgets.
Officials say the proposed expansion is part of a broader effort to support families facing increasing heating and electricity costs.
The Government has also indicated that the scheme could be extended to other groups currently excluded, although no final decisions have been made yet.
A spokesperson for the Department for Energy Security and net zero said: “We are currently considering more substantial changes to the Warm Home Discount Scheme to improve the design of the scheme beyond the current regulations, which expire in 2026.”
The consultation will run until March, with the changes expected to take effect next winter. For now, eligibility remains the same.
In England and Wales, households qualify if they receive the Guarantee Credit element of Pension Credit or are on a means-tested benefit and have high energy costs.
In Scotland, eligibility depends on receiving Pension Credit, being on a means-tested benefit, or meeting specific criteria set by the supplier.
