Warm Home Discount Scheme

The Warm Home Discount is a one-off payment of £150 automatically applied to your electricity bill between October and March each year.

• The discount is taken off your bill or added as credit to your account.
• If you get both gas and electricity from the same supplier, you may receive the discount on your gas account instead.
• The payment doesn’t affect any other benefits you receive.

You could qualify if you either:

• Receive the Guarantee Credit element of Pension Credit, or
• Have a low income and high energy costs (as identified through government data).

There are two main groups in England and Wales, plus additional Industry Initiatives funded by energy suppliers.

This group includes pensioners who receive the Guarantee Credit element of Pension Credit.

The Department for Work and Pensions (DWP) automatically identifies eligible households and works with suppliers to apply the £150 discount directly to your bill.

You’ll qualify if:

• You receive Pension Credit Guarantee Credit.
• Your energy bill is in your name (or your partner’s).
• Your supplier takes part in the WHD scheme.

If you believe you’re eligible but haven’t received the discount by March, contact your supplier.

This group covers low-income households that are most likely to face high heating costs.

You may qualify if you receive one or more of the following:

• Universal Credit (UC).
• Income-related Employment and Support Allowance (ESA).
• Income-based Jobseeker’s Allowance (JSA).
• Income Support (IS).
• Pension Credit (Savings Credit).
• Housing Benefit.

The government uses data from the Valuation Office Agency (VOA), DWP, and HMRC to match property details with household benefit information.

If your home is found to have high heating costs and you’re on a low income, your discount is automatically applied, there’s no need to apply manually.

Energy suppliers must also provide additional support to help people struggling with energy costs. These projects are known as Industry Initiatives and may include:

• Free energy advice and home efficiency visits.
• Debt support for people in arrears.
• Benefit entitlement checks.
• Guidance on smart meters and energy-saving improvements.

You can contact your energy supplier to ask about any Industry Initiative schemes running in your area.

Scotland operates a separate WHD scheme, managed jointly by the Scottish Government and DESNZ.

It still includes Core Group 1, Core Group 2, and Industry Initiatives, but eligibility and targeting may differ slightly.

You can find more details on the Scottish Government website or by checking with your energy supplier.

From 2023, all energy suppliers with over 1,000 domestic customers must take part in the Warm Home Discount scheme.

This means more households are now eligible, as smaller suppliers are also required to offer the £150 rebate.

To check whether your supplier is part of the scheme, visit the official Ofgem website.

Most people don’t need to apply, if you qualify, the discount is automatically applied.

If you think you’re eligible but haven’t heard anything, you should:

1. Contact your energy supplier to check your status.
2. Check your Pension Credit or other benefit entitlements.
3. Act quickly: suppliers have limited funds each year.

Official guidance is available on Warm Home Discount Scheme.

• Payment amount: £150 discount.
• Payment period: October to March.
• Who qualifies: Pension Credit recipients or low-income, high-cost households.
• How it’s paid: Automatically applied to your bill (no direct cash payment).
• Government department: Department for Energy Security and Net Zero (DESNZ).
• Regulator: Ofgem.

The Warm Home Discount provides vital support for pensioners and low-income households during the colder months.

By giving a £150 rebate on energy bills, the scheme helps reduce financial pressure and protect those most at risk from cold homes and fuel poverty.

If you think you may qualify, contact your supplier or visit Warm Home Discount Scheme to learn more.

If you’re on a low income, receive benefits, or live in a home that’s hard to heat, you may qualify for additional support alongside the Warm Home Discount, including free or heavily discounted energy efficiency upgrades through the ECO4 Scheme and the Great British Insulation Scheme (GBIS).

These government-backed programmes can help you lower your bills, improve warmth, and reduce energy waste, all with no upfront cost if you qualify.

Check your eligibility here, it’s quick, free, and could help you make your home warmer, more efficient, and easier to afford this winter.

Useful Resources:

• Department for Energy Security and Net Zero (DESNZ)
• Ofgem
• Warm Home Discount Scheme

Cost of Living Support Available:

• Household Support Fund (England)
• Cost of Living Payments
• Support for Mortgage Interest (SMI)
• Mortgage Guarantee Scheme
• Council Tax Reduction

ECO4 Support Available:

• Department for Business, Energy & Industrial Strategy, Energy Company Obligation
• Ofgem Energy Company Obligation (ECO4) Guidance: Delivery V1.1
• Ofgem Energy Company Obligation (ECO)
• UK Government, Help from your energy supplier: the Energy Company Obligation
• Which? Energy Company Obligation (ECO)

Other Support Available:

• Household Support Fund
• Cold Weather Payment
• Cost of Living
• Fuel Vouchers