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Warm Home Discount extended to millions more households

Warm Home Discount extended to millions more households
Emma Lunn
Written By:
Posted:
19/06/2025
Updated:
19/06/2025

Around 2.7 million extra households will receive £150 off their energy bills next winter, increasing the total number of eligible households to more than six million.

According to the Government, the increases will benefit about 900,000 families with children and a total of 1.8 million households in fuel poverty.

The rule change means that every billpayer on means-tested benefits will now qualify for the Warm Home Discount, removing restrictions that previously excluded many households who needed help.

In England and Wales, the new rules remove the stipulation that a household needs to have ‘high energy costs’ to qualify. In Scotland, the level of spending available for suppliers to allocate will be increased.

What is the Warm Home Discount?

The Warm Home Discount has run since 2011 and aims to help households most at risk of fuel poverty.

The majority of the eligible recipients get the concession automatically, with £150 deducted from their electricity bill during the winter months.

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The Government announced proposals to extend the scheme in February – and the extension has now been confirmed.

Prime Minister Keir Starmer said: “I know families are still struggling with the cost of living, and I know the fear that comes with not being able to afford your next bill.

“Providing security and peace of mind for working people is deeply personal to me as Prime Minister and foundational for the Plan for Change. I have no doubt that, like rolling out free school meals, breakfast clubs and childcare support, extending this £150 energy bills support to millions more families will make a real difference.”

Ed Miliband, Energy Secretary, said: “Millions of families will get vital support with the cost of living this coming winter, demonstrating this government’s commitment to put money in people’s pockets through our Plan for Change.”