Energy Bills Rebate Scheme
The Government has announced a support package for helping households to pay their energy bills. It comes in response to rising energy prices which are making it hard for many single parents to pay their bills.
This support comes in two forms:
- A £200 loan for your energy bills
- A £150 council tax rebate if you are in council tax bands A – D.
What is the £200 energy loan?
The £200 energy loan will be applied to everyone’s energy bills from October 2022. The government is paying energy suppliers directly so you don’t have to do anything to receive this, your bill will be reduced by £200 automatically.
However, it is important to realise this a loan and will need to be paid back. Again this will happen automatically on your energy bill, paying an extra £40 a year for 5 years, starting in April 2023. This will likely show up as an increase to standing charges on your bills.
What if I have a pre-payment meter?
If you use a pre-payment meter you will still qualify for the loan, which you will receive as credit for your meter. You may get this credit as a voucher, a cheque, or if you have a smart meter it could be added automatically.
Are there exceptions?
The loan may not apply to your home if you have a shared heating system.
Be aware that the energy discount only applies to homes, not businesses.
Can I opt out?
You can’t refuse to receive the £200 loan, it will be applied to everybody through their energy supplier.
What is the £150 council tax rebate?
If you pay council tax and your home is council tax band A, B, C, or D, you will receive a £150 rebate. This money will be paid back to you and should show up on your council tax bill from April 2022, or by May at the latest.
If you think you are in the wrong council tax band you can challenge it online.
What other help is available?
There is other help available if you are struggling to pay your energy bills. You can read about this in more detail on our ‘Making ends meet‘ page.
- Some energy suppliers offers a discount under the Warm Home Discount Scheme.
- If you’re claiming certain benefits you could be eligible for cold weather payments during the winter.
- Some local authorities can offer grants or vouchers toward energy costs through the Household Support Fund. Contact your council to see if they provide this.
- You can use the Turn2Us grant checker tool to see if there are grants you can apply for in your area.