Warm Home Discount Guide UK (£150 Off Electricity Bills 2026)

What Is the Warm Home Discount

The Warm Home Discount (WHD) is a mandatory scheme for energy suppliers in Great Britain, overseen by the Department for Energy Security and Net Zero (DESNZ) and Ofgem. It requires larger energy suppliers to provide £150 discounts to eligible customers. The discount is applied as a one-off credit to your electricity account — you do not get a cheque or bank transfer. If you have a dual-fuel tariff (gas and electricity with the same supplier), the discount can be applied to your gas account instead if you prefer. The discount applies to the electricity bill for the property you live in — not a holiday home or property you rent out. The scheme runs from October to March each year. If you are eligible and your supplier participates in the scheme, the discount is applied automatically or after a successful application. The discount is non-taxable and does not affect your benefit entitlements. In 2026/27, the Warm Home Discount is £150, increased from £140 in previous years. The government reviews the amount annually.

How Much Is the Discount and When Is It Paid

The Warm Home Discount in 2026/27 is £150. It is credited directly to your electricity account as a one-off payment between October 2026 and March 2027. The exact payment date depends on your supplier and when they process applications. Most suppliers apply the discount in November or December. The discount shows as a separate line item on your electricity bill — you will see "Warm Home Discount" credited. If you are on a prepayment meter, the discount is applied as credit to your meter — you may need to redeem a voucher or have the credit applied automatically, depending on your supplier. If you are on a debt repayment plan, the discount is applied to your account and reduces what you owe rather than being a cash payment. The discount can only be applied to one fuel account — you cannot split it between gas and electricity. If you switch supplier during the scheme period, check whether your original supplier has already applied the discount or whether the new supplier will handle it. The credit is not a loan or advance — it is a genuine discount that you do not have to repay.

Who Qualifies (Core Group and Broader Group)

The Warm Home Discount has two eligibility groups. Core Group 1 (automatic): you qualify automatically if you receive Pension Credit Guarantee Credit — you do not need to apply; your electricity supplier will receive your details from DWP between July and September and apply the discount automatically. Broader Group 2 (application needed): you may qualify if you are on a low income and receive certain means-tested benefits, including Universal Credit (with low earnings — typically below a threshold set by your supplier), Income Support, income-based JSA, income-related ESA, Child Tax Credit, or Working Tax Credit. Eligibility for the Broader Group also depends on your household income, property type, and energy costs — each supplier sets its own criteria within government guidelines. If you receive Pension Credit Savings Credit only (not Guarantee Credit), you may qualify under the Broader Group rather than automatically. You must apply through your supplier's website when applications open (usually from September). In Scotland, different rules apply (see below). See Universal Credit Guide and State Pension Guide for more.

How to Apply for the Warm Home Discount

If you are in the Core Group (receiving Pension Credit Guarantee Credit), you do not need to apply — the discount is applied automatically. If you think you are in the Core Group but have not received the discount by January, contact your electricity supplier. If you are applying under the Broader Group, follow these steps:

• Check your electricity supplier participates in the Warm Home Discount scheme — most major suppliers do (British Gas, EDF, E.ON, Octopus, OVO, ScottishPower, SSE)
• Visit your supplier's website from September 2026 to check their specific eligibility criteria
• Complete the online application form with your personal details, benefit information, and energy account number
• Suppliers typically operate on a first-come, first-served basis — the Broader Group has a fixed budget each year
• Apply early — the Broader Group usually fills up within weeks of opening
• If your application is successful, the £150 is credited to your account by 31 March 2027

What If You Are a Private Renter or Park Home Resident

Private renters can qualify for the Warm Home Discount if they pay their own electricity bill directly to the supplier. If your landlord includes electricity in your rent, the discount goes to your landlord's account — make sure you understand how this affects your rent payments. Tenants in properties with a communal heating system (heat networks or district heating) can also qualify — the discount is applied to the heat network account, and the provider should pass the benefit to you. If you live in a park home, you may be eligible for the Warm Home Discount even if your park home site does not use a traditional energy supplier. Park home residents with a private electricity supply contract (pitch fee includes electricity) can apply — contact the Warm Home Discount helpline for guidance. Residents of England and Wales are covered by the main scheme. Scotland has a separate scheme (see below). The discount is per household, not per person — if two eligible people live in the same home, only one discount is applied. If you are in a care home, you are not eligible (the care home should include heating costs in your fees).

Warm Home Discount Scotland

Scotland has its own Warm Home Discount arrangements from 2022 onwards. The Scottish Government runs a different eligibility and application process compared to England and Wales. In Scotland, the scheme is administered through the Scottish Warm Home Discount and includes a broader definition of eligibility. Key points: the discount amount is the same (£150); it is available to households on certain benefits with low incomes; eligibility is not limited to customers of larger suppliers — you may qualify regardless of your energy supplier; there is a "self-identification" route where you can apply directly to the Scottish Government scheme if you meet the criteria but do not receive qualifying benefits. The application window typically opens in October. Check the Scottish Government website at gov.scot for specific dates and criteria. If you live in Scotland and are on Pension Credit Guarantee Credit, you still receive the discount automatically through the DWP. For all other low-income households, you must apply through the Scottish scheme. Northern Ireland does not have a Warm Home Discount scheme, though some energy suppliers offer their own support programmes.

FAQs

Do I need to apply for the Warm Home Discount?

If you receive Pension Credit Guarantee Credit, the discount is automatic. If you are on other qualifying benefits, you must apply through your energy supplier's website. Apply early as the Broader Group has a limited budget.

How is the discount paid?

It is credited to your electricity account as a one-off £150 credit, typically between November and January. You do not receive cash or a cheque. For prepayment meters, the credit is applied to your meter or provided as a voucher.

Can I get the discount if I use a prepayment meter?

Yes. The discount is applied as credit to your prepayment meter or issued as a redeemable voucher. Contact your supplier if you have not received it by February.

What if I switch energy supplier during the scheme?

Your original supplier is responsible for the discount if you were eligible before switching. If you switch after the discount has been applied, it stays with your old account. Check with both suppliers.

Does the Warm Home Discount affect my benefits?

No. The Warm Home Discount is tax-free and not counted as income for benefit calculations. It does not reduce your Universal Credit, Pension Credit, or any other benefit.