Under the Warm Home Discount scheme, Britain’s main energy suppliers will be providing £1.1 billion of support to their most low income and vulnerable customers. Around two million households are expected to benefit in each year of the scheme, which runs from April 2011 to March 2015.
Most customers who receive assistance under the Warm Home Discount will get a rebate on their bill, but suppliers will provide other forms of support too.
Under the Warm Home Discount, vulnerable people and those on low incomes will be helped in a number of different ways.
Over half of the funding across the scheme, (around £580 million) will go directly to the oldest, poorest pensioners through a rebate on their electricity bill. The rebate is worth £130 and will rise in following years. Whether or not someone is eligible is determined by Government, and depends on whether customers qualify for certain elements of pension credit.
Each supplier also offers the discounts to a broader group of fuel poor and vulnerable customers who apply for assistance.
Suppliers also continue to fund other activities to help people through benefit entitlement checks, debt relief and energy efficiency measures
Providing financial assistance to those in need may help tackle fuel poverty, but more long-term solutions involve improving the energy efficiency of people’s homes. This is why the Green Deal and the Energy Company Obligation (ECO) are being brought in. Find out more about the Green Deal and ECO schemes.