Government launch consultation on proposed extension to Warm Homes Discount Scheme Oct 23, 2020

Government launh consultation on proposed extension to Warm Homes Discount Scheme

The consultation proposes to extend the Warm Home Discount scheme to winter 2021-2022 in Great Britain.

The Warm Home Discount Scheme (WHDS) offers a one-off payment of £140 towards your energy bill.

Introduced in April 2011, the scheme reduces the winter bills of those who need it most in England, Wales and Scotland.

The scheme is to remain broadly unchanged with energy bill discounts of £140 to both the core and broader group, with eligibility unchanged.

Approximately 1.1 million Pension Credit Guarantee Credit recipients would continue to receive the energy bill rebate automatically under the Core Group.

With the broader group criteria also unlikely to change, it means residents on low incomes, in receipt of in work benefits or who have with a child under 5 or a disabled child could qualify.

There is also likely to be more people helped by the scheme with greater financial scope in the scheme with the spending target for 2021/22 estimated to be £357m.

The Government have also proposed a number of minor changes to industry initiatives, small operational changes and some considerations around the future of the scheme, beyond the one-year extension.

It is acknowledged in the consultation that: "The COVID-19 lockdown has highlighted how households living in less efficient homes are likely to spend more on their bills compared those living in better insulated homes."

The Government go on to say: "Energy efficiency remains the most effective way of tackling fuel poverty. Good progress is being made to improve the energy performance of fuel poor homes through the GB wide Energy Company Obligation and the private rented sector minimum energy efficiency standard."

The full consultation can be read here.

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