LIFE

When families will receive their £400 energy bills discount

Last modified on Wednesday 31 August 2022

All you need to know about how – and when – the support payment will be made.

When the government announced measures to help with energy bill payments over the winter, earlier this year, families breathed a sigh of relief.

With typical domestic energy bills predicted to hit more than £3,600 a year this winter, according to today's terrifying forecast – three times what they were at the start of the year by Christmas – we need every bit of help we can get.

With further details having been revealed, it's now a little bit clearer how the £400 discount off energy bills, including how and when households will get the payout.

The good news is that if you live in England, Scotland or Wales and you have a domestic electricity supply in your home, then you're eligible for the support and no, it doesn't need to be paid back.

And if you are one of the 1% of householders who does not have contract with an energy supplier - for example - if you live on a park home site - you will still get assistance, and the exact details of what that will be will be disclosed in the autumn - although the Guardian reports that this will be 'equivalent financial help'.

For those in Northern Ireland, the government has said it is 'urgently working' on a deal to ensure households get the same support 'as soon as possible'.

When and how will the payment be made?

The government has now revealed that the £400 discount will be made in monthly instalments, starting in October.

Families should expect to see an initial £66 reduction applied to energy bills in October and November.

This will increase to £67 a month for December, January, February and March.

How you get the discount will depend on how you pay for your energy.

For direct debit customers, you'll either see that the amount that is debited as been adjusted to reflect the discount, or you'll get the sum refunded to your account after your bill has been paid.

If you pay for you energy via a payment card or smart prepayment meter, your discount will be automatically applied as a credit in the first week of each month.

If your meter is of the traditional, non-smart variety, you will get vouchers at the beginning of each month, which you'll be able to redeem wherever you usually top up. The vouchers will be sent to householders by post, email or text.

If you rent and don't pay extra for your energy, you should still get a discount.

Government guidance on this states that 'landlords who resell energy to their tenants should pass the discounted payments on appropriately, in line with Ofgem rules to protect tenants.'

Beware of scams

The government is urging people to be aware of scams using this pay-out to get bank details off people believing they're getting money.

It warns people not to give personal info to anyone as it isn't required in order to get the discount. Also, make sure you keep an eye on your post if you are expecting a paper voucher, and look out for letters from your energy company.

And check your post, too.

The fuel poverty charity, National Energy Action has said they have worries that the poorest and most vulnerable of people could struggle to access the support if they have non-smart prepayment meters.

Speaking to the BBC, the charity's Maureen Fildes said that those who do not have a lot of interaction with their energy supplier and just top up as and when they need to, could miss the voucher or information about it arriving in the post.

'If it’s a paper voucher, we’d like to ensure that people don’t ignore post from their supplier,' she said. 'It’s not going to be another bill; it is going to be some level of support.'

How to get help if you're struggling

If you are struggling, always contact your energy provider to see how they can help you.

Suppliers have to offer affordable payment plans to those who can't pay their bills, and can also provide emergency credit for prepaid meters in some circumstances.

Ofgem is the government regulator of the gas and electricity industry and can advise you what to do if you can't afford to pay your energy bills.

And you can always get support and advice from other parents and experts in our Forum, below ...

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