Major Extension of Warm Home Discount Secures £150 Energy Bill Support Until 2031
The UK government has announced a significant extension to the Warm Home Discount scheme, guaranteeing eligible households a £150 rebate on their energy bills every winter until 2030/31. This long-term commitment aims to provide sustained relief from the ongoing cost-of-living crisis, offering millions of families financial certainty for the remainder of the decade.
Government Confirms Decade-Long Support for Vulnerable Households
Energy Secretary Ed Miliband confirmed the continuation of the scheme on Thursday, emphasising that tackling affordability remains the government's top priority. The announcement comes against a backdrop of persistently high wholesale energy prices that continue to pressure household budgets across the nation.
"Tackling the affordability crisis is the Government's number one priority," stated Mr Miliband. "That is why we are today confirming to millions of eligible families across the country that they will receive the £150 Warm Home Discount every winter for the rest of the decade. That will give families much-needed peace of mind that they will continue to receive vital support, as we take action to bring down bills for good."
Expanded Eligibility Reaches Approximately Six Million Households
The latest extension builds upon last year's expansion of the Warm Home Discount, which added 2.7 million families to the scheme. This expansion brings the total number of eligible households to around six million across England and Wales.
All households in England and Wales receiving qualifying means-tested benefits should automatically receive the discount, provided their energy supplier has more than 1,000 customers. This automatic payment system aims to simplify access to crucial support without requiring complex applications from vulnerable consumers.
Industry and Advocacy Groups Welcome Long-Term Certainty
Energy industry representatives have welcomed the confirmation of support extending through the decade. Ned Hammond, deputy director of customer policy at Energy UK, commented: "It's very good news to see confirmation that the Warm Home Discount will be in place until the end of the decade which, particularly with the recent expansion, will provide continuing vital support with energy bills to millions of customers."
Hammond further noted: "We now look forward to working with the Government on further changes to the scheme, including better targeting and tiered support, to ensure that is both directed to those most in need and provides the right level of assistance to really make a difference for customers struggling to afford bills."
Additional Support Measures and Broader Context
Separately from the Warm Home Discount extension, the government has announced that approximately £150 will be cut from the average household bill starting in April through the scrapping of the Energy Company Obligation (ECO) scheme. This represents an additional measure to reduce energy costs for consumers.
Matt Copeland, head of policy and public affairs at National Energy Action, highlighted the importance of the extended support: "The five-year continuation of the Warm Home Discount is welcome news for low-income households and provides support that extends beyond this parliament. It is also essential that support is continuing for energy advice and for measures that reach people who are not within the benefits system."
The announcement comes as the average energy bill for households in England, Wales, and Scotland remaining on standard variable tariffs reached £1,758 annually this winter, underscoring the continued financial pressure on consumers despite recent market adjustments.
This long-term commitment to the Warm Home Discount represents one of the most substantial energy support measures announced in recent years, providing vulnerable households with predictable financial assistance through multiple winters ahead.
