Millions of households across the UK will continue to receive help with soaring energy costs after the government confirmed the Warm Home Discount will run until the
end of the decade.
Under the extension, eligible families will receive a £150 discount on their energy bills every winter until 2030/31, offering long-term reassurance for those struggling with the cost of heating their homes.
The announcement builds on last year’s expansion of the scheme, which brought an additional 2.7 million households into eligibility. In total, around six million families are now set to benefit from the discount each year. The move comes alongside further bill relief from April, when households will see an average £150 reduction in energy costs following measures announced in the Budget.
Scottish households are set to gain significantly from changes to how the scheme is delivered. From next winter, around 345,000 families in Scotland will receive the £150 discount automatically — an increase of roughly 250,000 households. Previously, many Scottish consumers had to contact their energy supplier to apply for the rebate, a process that often meant support was missed.
The reforms bring Scotland more closely in line with England and Wales, where the majority of eligible households already receive the discount without needing to apply.
However, a small number of households will still need to take action this winter. Those who have received a letter asking them to contact the Warm Home Discount helpline must do so by 27 February 2026 to ensure they receive the rebate for the 2025/26 winter.
Energy Secretary Ed Miliband said: “Tackling the affordability crisis is the government’s number one priority. That is why we are today confirming to millions of eligible families across the country that they will receive the £150 Warm Home Discount every winter for the rest of the decade.
That will give families much-needed peace of mind that they will continue to receive vital support in the cold winter months, as we take action to bring down bills for good”.
The extension follows the recent launch of the £15 billion Warm Homes Plan — described as the largest home upgrade programme in British history — aimed at improving energy efficiency and cutting household bills.
From April, further savings are expected, with average households set to save £150 a year. Some families could see even bigger reductions, with high-use electric storage heating homes potentially saving more than £400 annually.
Together, the measures mark a significant boost to long-term energy support for millions of families across Britain.
Ned Hammond, Deputy Director, Policy (Customers) at Energy UK said:
“It’s very good news to see confirmation that the Warm Home Discount will be in place until the end of the decade which, particularly with the recent expansion, will provide continuing vital support with energy bills to millions of customers. The changes in Scotland are also very welcome as it will mean many more customers receiving the discount automatically without having to apply.
We now look forward to working with the government on further changes to the scheme, including better targeting and tiered support, to ensure that is both directed to those most in need and provides the right level of assistance to really make a difference for customers struggling to afford bills”.
Matt Copeland, Head of Policy and Public Affairs at National Energy Action says:
“The 5-year continuation of the Warm Home Discount is welcome news for low-income households and provides support that extends beyond this parliament. Alongside energy advice and wider support to help maximise people’s incomes, directly reducing energy bills can be a vital lifeline for vulnerable people who cannot keep their homes adequately warm.
Six million households across Great Britain now receive the discount and the revised eligibility criteria give greater certainty about who will benefit each year. It is also essential that support is continuing for energy advice and for measures that reach people who are not within the benefits system. Without this, many households who cannot be identified through government data matching will remain without the help they need”.