The Warm Home Discount will be worth £150 in England and Wales from October 2022, up from £140, according to a government consultation on how the rebate should work in Scotland1. The Department for Business, Energy and Industrial Strategy (BEIS) opened that consultation on whether the Scottish rebate should be extended to more people and increased from £140 to £1501.
The Scottish proposals would bring the discount "on a par with how it will work in England and Wales from October 2022"1. BEIS also proposed extending the initiative to include smaller energy suppliers in Scotland, and extending the rebate there until 20261. The consultation said a further 50,000 Scottish households could receive the discount, meaning more than 280,000 Scottish households would be eligible1.
The consultation followed changes announced in the previous month, including allowing 750,000 households, among them people receiving housing benefit, to receive the discount1. The article reports that Chancellor Rishi Sunak extended eligibility by almost a third more people in the UK, allowing three million households to benefit, alongside plans to increase it by £101.
"BEIS has proposed that the initiative should be extended to include smaller energy suppliers in Scotland too, and that it should rise to £150, putting it on a par with how it will work in England and Wales from October 2022."
The scheme is government-run and regulated by Ofgem1. Two groups qualify. The Core group is made up of customers who receive the Guarantee Credit element of pension credit, and the Broader group covers people on low income or who qualify for certain means-tested benefits, with each supplier setting its own criteria approved by Ofgem1. Core group recipients receive the discount automatically on their bill, while Broader group applicants must apply through their energy provider1.
| Item | Detail |
|---|---|
| Discount in England and Wales from October 2022 | £1501 |
| Discount in Scotland at the time of the consultation | £140, proposed to rise to £1501 |
| Additional Scottish households proposed | 50,000, taking the total to more than 280,0001 |
| UK households covered by the wider eligibility extension | Three million1 |
| Consultation closing date | 22 May 20221 |
Why it matters for households
The discount is a reduction on electricity bills for households that qualify, so the change from £140 to £150 raises the value of the rebate for eligible households in England and Wales from October 20221. In Scotland, the higher rate and wider eligibility were proposals at the time of the consultation, not settled entitlements, and the consultation closed on 22 May 20221. The article notes that energy bills were expected to climb significantly once the next price cap level came into force in October, with annual payments already reaching £1,971 for a typical home1. Households in the Core group receive the discount automatically, while those in the Broader group must apply through their supplier1. The Warm Home Discount and other help with energy bills guide covers the scheme, and the benefits hub covers related support.
What happens next
The consultation closed on 22 May 20221. The article does not report when the government would respond to it, or when the Scottish changes would take effect if agreed; those dates have not been reported1.
Turn2usFree benefits calculator and grants search from a charity
Citizens AdviceFree advice on money, consumer and legal problems in England and Wales
GOV.UKOfficial information on tax, benefits and government services
MoneyHelperFree, impartial money and pensions guidance, set up by government