Government Scheme

Warm Home Discount 2025/2026: £150 off your energy bill

Last updated: 23 March 2026

Written by the Great British Energy editorial team · Verified against gov.uk sources

A one-off £150 discount applied directly to your electricity bill. Automatic for many households — no application needed.

The Warm Home Discount gives you £150 off your electricity bill, applied as a one-off discount between October and March. If you receive the Guarantee Credit element of Pension Credit, you get it automatically — no application needed. Low-income households on other benefits may also qualify through the broader group. Around 3 million UK households receive the Warm Home Discount each year.

⚡ Key Takeaways

  • £150 discount on your electricity bill each winter
  • Core Group: Automatically applied if you receive Pension Guarantee Credit
  • Core Group 2: Means-tested benefits + high energy costs (DWP data matched)
  • Applied between October and March each year
  • You don't need to apply — most eligible households receive it automatically
  • Available in England and Wales only (Scotland has separate schemes)

Key facts: £150 one-off discount on your electricity bill. Automatic for Pension Credit recipients (Core Group 1) and benefits recipients with high energy costs (Core Group 2). Applied between October and March each winter.

The Warm Home Discount is one of the simplest energy support schemes in the UK. If you're eligible, you'll receive a one-off £150 discount applied directly to your electricity bill. You don't get cash — the discount appears as a credit on your energy account.

For some households, this happens automatically. For others, you need to apply through your energy supplier.

The two eligibility groups

Core Group 1 — Automatic (Pension Credit)

If you receive the Guarantee Credit element of Pension Credit, the discount is applied automatically. The DWP matches your data with energy suppliers — you don't need to do anything.

Core Group 2 — Automatic (Benefits + High Energy Costs)

If you receive certain means-tested benefits (Universal Credit energy grants, Income Support, income-based JSA, income-related ESA, Housing Benefit energy grants, Child Tax Credit) and have high energy costs relative to your income, you may be automatically included through a government data matching exercise.

You'll receive a letter confirming the discount if you qualify.

Broader Group (Scotland)

In Scotland, a Broader Group is available as a direct £150 rebate for low-income households at risk of fuel poverty. You must apply directly to your energy supplier — applications typically open around August/September. Places are limited.

When is the discount applied?

  • Core Group 1: Usually November–January
  • Core Group 2: Usually December–March
  • Broader Group (Scotland): December–March (varies by supplier)

If you have a prepayment meter, you may receive a voucher or notification to collect your credit.

Which suppliers participate?

Participation is mandatory for suppliers with 150,000+ domestic electricity customers:

  • British Gas
  • EDF
  • E.ON / E.ON Next
  • OVO Energy (including SSE customers)
  • Scottish Power
  • Octopus Energy
  • Utilita

Other energy support

The Warm Home Discount can be received alongside other schemes:

  • ECO4 — free insulation and heating upgrades
  • GBIS — free insulation (ending March 2026)
  • Winter Fuel Payment — £100–£300 for pensioners
  • Cold Weather Payment — £25 per cold spell
  • Priority Services Register — free support if vulnerable

Warm Home Discount questions answered

Common questions about eligibility, how the discount works, and what to do if you haven't received it.

Core Group 1 and 2 in England & Wales: no, it's automatic. Broader Group in Scotland: yes, apply to your energy supplier.
Check your electricity account for a £150 credit. If not there, contact your supplier and confirm you're receiving Guarantee Credit. The discount is usually applied between November and January.
No. The discount is always applied to your electricity bill, because all households have electricity but not all have gas.
Switching may affect your discount. It's linked to your supplier at the time of data matching (usually the start of the scheme year). Contact your new supplier to check.
No. The Warm Home Discount is not taxable income.
Yes, this is a scam. The Warm Home Discount is completely free. Never pay a fee or share banking details. Report to Action Fraud (0300 123 2040).
Yes. It's based on your personal circumstances, not homeownership. As long as the electricity account is in your name.

What Is the Warm Home Discount?

The Warm Home Discount is a £150 one-off reduction on your electricity bill, funded by energy suppliers. Designed to help vulnerable and low-income households cover winter energy costs. The discount is applied directly to your bill — you don't receive cash.

Core Group (Automatic)
Pension Credit (Guarantee Credit) recipients receive the £150 automatically — no application needed. Applied between October and March.
Core Group 2 (Automatic)
Low-income households identified through DWP data matching. Includes those on Universal Credit, ESA, JSA, and other qualifying benefits in high-cost properties.
Amount & Payment
£150 discount applied to electricity bill (not gas). If you have a prepayment meter, the voucher is sent to top up your meter. Payment window: October–March.
Who Doesn't Qualify
Households with high incomes, properties in council tax bands E–H (England), or those without a direct energy supplier relationship (e.g. included in rent).

Warm Home Discount vs Other Energy Help

Feature Warm Home Discount Winter Fuel Payment ECO4
Value £150 £100–£300 Up to £12,000
Type Bill discount Cash payment Free improvements
Frequency Annual Annual One-off
Application Automatic (most) Automatic Apply via installer
Who qualifies Pension Credit / low-income State Pension age Benefits + EPC D or below

Disclaimer: Great British Energy is an independent information service. We are not a government body and are not affiliated with Great British Energy (gbe.gov.uk). Grant amounts, eligibility criteria, and scheme details may change. Always verify with the relevant government department or your local authority before making financial decisions. We may receive referral fees when you use our partner installers — this doesn't affect our editorial recommendations. Content last reviewed: 4 March 2026.

Check all grants you're eligible for

The Warm Home Discount is just one scheme. You may qualify for thousands more in free improvements.