£150 Warm Home Discount could end next year for over three million households

Linda Howard
·8-min read
£150 Warm Home Discount could end next year for over three million households

Energy Minister Miatta Fahnbulleh has confirmed that the current Warm Home Discount scheme is set to end in March 2026. The annual payment of £150 is paid directly by the Department for Work and Pensions (DWP) to energy providers of eligible households and is expected to support over three million households this winter.

The Energy Minister also said that a consultation “on the future of the scheme beyond 2026” will take place later this year. The comments were made after Labour MP Neil Duncan-Jordan asked if there are plans to extend the Warm Home Discount Scheme beyond 2026.

READ MORE: Legal bid to reverse Winter Fuel Payment cuts for all pensioners due to be heard next month

READ MORE: Older people not due Winter Fuel Payment could get up to £200 energy bill help

In a written response last week, Ms Fahnbulleh said: “The current Warm Home Discount scheme period comes to an end in March 2026. Since the scheme began in 2011, over £4 billion has been provided in support to eligible households.

“The Warm Home Discount is expected to support over 3 million households in Great Britain over winter 2024/25, funded through a levy on all domestic gas and electricity customers. It remains an important support mechanism as energy bills remain high.

“We will consult later this year on the future of the scheme beyond 2026.”

Warm Home Discount Scheme 2024/25

It’s important to be aware that people need to apply for this through their energy supplier and not the DWP, who then pays the money directly to the energy provider, not the claimant. Eligibility rules changed in 2022, which means some people may no longer qualify and others might need to apply as they will not receive the discount automatically.

There are over 25 energy suppliers supporting the Warm Home Discount Scheme, but to check if your provider is offering the scheme, visit their website and search 'Warm Home Discount'.

Following the rule change to Winter Fuel Payments, where only those over 66 in receipt of Pension Credit, Tax Credits or other means-tested benefits will be eligible for the annual lump sum of up to £300, it’s crucial that people check now if they need to claim the Warm Home Discount.

Eligible households may also be able to get the £150 discount applied to their gas bill instead - if their supplier provides them with both gas and electricity, just contact them once the scheme opens to find out.

If you’re a credit customer the £150 will be added to your electricity account and if you’re on Pay As You Go or Prepayment, you’ll be sent a voucher that you can use to top-up your meter. Below is an overview of the scheme and the rules on eligibility.

People in Scotland may also be eligible for the £58.75 Winter Heating Payment which supported over 410,000 low-income households last year or the £151.50 Child Winter Heating Payment, which was paid to 30,000 children and young people on disability benefits - find out more about both these payments here.

Participating Energy Suppliers

The dedicated Warm Home Discount Scheme pages with the full list of participating suppliers is available on GOV.UK.

These include:

  • 100Green (formerly Green Energy UK or GEUK)

  • Affect Energy – see Octopus Energy

  • Boost

  • British Gas

  • Bulb Energy – see Octopus Energy

  • Co-op Energy - see Octopus Energy

  • E - also known as E (Gas and Electricity)

  • Ecotricity

  • E.ON Next

  • EDF

  • Fuse Energy

  • Good Energy

  • Home Energy

  • London Power

  • Octopus Energy

  • Outfox the Market

  • OVO

  • Rebel Energy

  • Sainsbury’s Energy

  • Scottish Gas – see British Gas

  • ScottishPower

  • Shell Energy Retail

  • So Energy

  • Tomato Energy

  • TruEnergy

  • Utilita

  • Utility Warehouse

Do I qualify for the £150 Warm Home Discount?

To qualify for the £150 credit, you need to have been in claim for one of the qualifying scenarios on August 11, 2024. A full guide to eligibility can be found on GOV.UK here.

People living in Scotland

If you live in Scotland, you qualify if you either:

  • get the Guarantee Credit element of Pension Credit - known as the ‘core group’

  • are on a low income and meet your energy supplier’s criteria for the scheme - known as the ‘broader group’

How you apply for the Warm Home Discount Scheme depends on how you qualify for the discount.

People living in England and Wales

If you live in England and Wales, you qualify if you either:

  • get the Guarantee Credit element of Pension Credit - known as ‘core group 1’

  • are on a low income and have high energy costs - known as ‘core group 2’

In both eligibility groups, DWP will make an assessment of your energy costs based on the property you live in. They will then write to you and confirm if you are eligible from November.

If you get the Guarantee Credit element of Pension Credit

You qualify for the Warm Home Discount if, on the qualifying date in August, all of the following applied:

  • your energy supplier is part of the scheme

  • your name (or your partner’s) is on the bill

  • you or your partner are getting the Guarantee Credit element of Pension Credit (even if you get Savings Credit as well)

This is known as being in the ‘core group’ in Scotland and being in the ‘core group 1’ in England and Wales.

An older couple are sitting with their feet outstretched in front of an open fire
The UK Government will hold a consultation on the future of the annual energy bill help later this year. -Credit:Getty Images

How to get the £150 discount

The scheme is open until March 31, 2025.

You will receive a letter before the end of January 2025 telling you about the discount if you’re eligible. Most eligible households will receive an automatic discount, but some may have to apply - check with your supplier.

Your letter will say if you need to call a helpline by February 28, 2025 to confirm your details. If you’re eligible, your electricity supplier will apply the discount to your bill by March 31, 2025.

Scotland - if you’re on a low income

If you do not get the Guarantee Credit element of Pension Credit you may be able to apply directly to your electricity supplier.

All the following must apply:

  • your energy supplier is part of the scheme

  • you (or your partner) get certain means-tested benefits or tax credits

  • your name (or your partner’s) is on the bill

DWP advises that your supplier may have additional criteria so you need to check with them if you’re eligible.

Qualifying benefits - Scotland

The qualifying means-tested benefits are:

  • Housing Benefit

  • income-related Employment and Support Allowance (ESA)

  • income-based Jobseeker’s Allowance (JSA)

  • Income Support

  • the ‘Savings Credit’ part of Pension Credit

  • Universal Credit

  • Child Tax Credit

  • Working Tax Credit

In Scotland, your electricity supplier decides who can get the discount.

The number of discounts suppliers can give is limited, so check with your supplier as early as possible to see if you’re eligible and how to apply. Check with them even if you were eligible for the Warm Home Discount last year.

If you are eligible, your electricity supplier will apply the discount to your bill by March 31, 2025.

England and Wales - if you’re on a low income

If you do not get the Guarantee Credit element of Pension Credit, you may still be eligible if, on the qualifying date, all of the following apply:

  • your energy supplier is part of the scheme

  • you (or your partner) get certain means-tested benefits or tax credits

  • your property has a high energy cost score based on its characteristics

  • your name (or your partner’s) is on the bill

Qualifying benefits England and Wales

The qualifying means-tested benefits are:

  • Housing Benefit

  • income-related Employment and Support Allowance (ESA)

  • income-based Jobseeker’s Allowance (JSA)

  • Income Support

  • the ‘Savings Credit’ part of Pension Credit

  • Universal Credit

  • Child Tax Credit

  • Working Tax Credit

The scheme for ‘core group 2’ opens in October, you will receive a letter before January 2025 telling you about the discount if you’re eligible.

If you’re eligible, your electricity supplier will apply the discount to your bill by March 31, 2025.

Warm Home Discount for Park / Mobile Homes

You apply a different way if you live in a park home and the application scheme for 2024/25 is open.

The Charis Park Homes Warm Home Discount is an Ofgem regulated, multi-supplier initiative which this year is being generously funded by E.ON Next, Utilita, OVO and Rebel Energy.

There are an estimated 110,000 park home and static caravan residential addresses across Scotland, England and Wales. These residents, who pay site owners for their electricity usage, are often elderly and retired and while they are often on low incomes many have, in the past, missed out on financial support.

Charis has partnered with Lightning Reach to host the online application form. People who want help with making an application can contact the Charis customer support team during normal working hours.

Due to the limited nature of the funding, applications are assessed on a first come, first served basis, and once all funding is allocated, the scheme will be closed.

Find out more about the Park Homes Warm Home Discount here.

You can find out more about the Warm Home Discount Scheme on the GOV.UK website here.

Latest stories