Rachel Reeves has confirmed that six million households will receive a £150 Warm Home Discount this year, with rule changes expanding eligibility significantly.
Who Qualifies for the £150 Bonus?
The Warm Home Discount provides a one-time £150 reduction on energy bills during the coldest months, typically applied between November and January. Under Labour's new rules, every household claiming Universal Credit will now qualify, along with some of the poorest pensioners. This doubles the number of eligible households from around three million to six million.
Support for Struggling Families
The payments come at a crucial time, as energy bills are set to rise by £221 per year from July. Prime Minister Keir Starmer emphasized the impact, stating, "We're taking £150 off energy bills. That's £300 for the six million poorest families. That's the difference a Labour Government makes."
How the Payments Work
Energy companies will automatically apply the discount to eligible households' bills between November and January. No action is required from recipients, but those unsure of their eligibility can check with their energy supplier or the government's Warm Home Discount scheme page.
The expansion is part of Labour's broader efforts to support low-income households amid rising living costs. Rachel Reeves and the Treasury have set out the details, with the aim of helping millions manage through the expensive winter period.
