Households urged to check on £150 discount for gas and electricity ahead of energy price cap increase

As energy bills continue to rise across the UK, households are being urged to check they are receiving a £150 discount on their gas or electricity. Customers might be missing out on the Warm Home Discount - which is available through providers such as British Gas, EON, EDF, OVO Energy and more.

The scheme allows households to get £150 off their energy bills with various big name providers, and in most cases is applied automatically. However, in some cases it might not be.

People on pre-payment meters or credit meters which need a card or key to be topped up cannot receive the discount directly. Instead, they usually receive vouchers which can be redeemed at top-up points, such as the Post Office. However, letters warn of an expiry date for the vouchers, so customers are being urged to check their coupons and make sure they are redeemed in good time.

If customers do miss the date, or lose the voucher, they can apply to have the discount reissued by contacting the Post Office. They can then be redeemed, as long as you take the voucher and a copy of ID, such as a driving licence, passport or utility bill.

The Warm Home Discount is provided by the government as a "one-off £150 discount off your electricity bill". "You’ll usually get the discount automatically if you’re eligible. You only need to apply if you’re on a low income in Scotland - contact your energy supplier to apply," a spokesperson said.

"You may be able to get the discount on your gas bill instead if your supplier provides you with both gas and electricity and you’re eligible. Contact your supplier to find out. You qualify if you either: get the Guarantee Credit element of Pension Credit or are on a low income and have high energy costs.

"You can still qualify for the discount if you use a pre-pay or pay-as-you-go electricity meter. Your electricity supplier can tell you how you’ll get the discount if you’re eligible, for example a voucher you can use to top up your meter."

The reminder comes after it was revealed energy prices would be rising again. On Tuesday (February 25) an announcement by Ofgem announced the energy price cap would be going up - this time by 6.4%. The government regulator said the increase to the price cap, which will raise the average bill for households in England, Scotland and Wales on a standard variable tariff from the current £1,738 a year to £1,849, followed a recent spike in wholesale prices.

The rise will equate to £111 for an average household per year, or around £9.25 a month, over the three-month period of the price cap. This is 9.4% or £159 higher than this time last year but £531 or 22% lower than at the height of the energy crisis at the start of 2023.