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Daily Record
Daily Record
Lifestyle
Linda Howard

Older people may be due up to £974 cash to help with higher energy bills this winter

On Monday, new Chancellor Jeremy Hunt said he and the Prime Minister had “reluctantly” agreed it would not be responsible to keep the £2,500 energy price guarantee beyond April 2023. The UK Government support replaced the Ofgem price cap and was originally planned to be in place for two years, until 2024.

The announcement will come as a blow to millions of households despite the Chancellor’s reassurance that a Treasury-led review will look at how the UK Government can support energy bills beyond April next year. He said the review’s objective would be to design a new approach that will cost the taxpayer “significantly less” than planned while providing help for those in need.

However, this is a statement from a new Chancellor who, on four separate occasions following his announcements in Parliament, refused to answer whether or not the State Pension Triple Lock guarantee would be observed for the annual uprating in April.

Labour’s Jeremy Corbyn and John McDonnell pressed Mr Hunt for reassurance that pensioners would not miss out as inflation continues to soar.

The latest Consumer Price Index (CPI) will be released on Wednesday, October 19.

The Triple Lock guarantees that State Pensions grow in line with whichever is highest out of earnings, inflation or 2.5%. It was introduced to help give pensioners a decent minimum level of income which would keep pace with growth in workers' earnings.

While the uprating to State Pension payments and other benefits remains uncertain, older people may not be aware of all the cash help available to them this winter - and most of it will be paid automatically.

In total, older people could be due up to £974 plus the £150 Warm Home Discount, although this is paid directly to energy suppliers and deducted from electricity bills.

Below is a list of payment older people may be due over this winter.

Winter cash help for older people

Second cost of living payment - £324

Older people in receipt of Pension Credit will be eligible for the second cost of living payment of £324 due to be paid from November 8 - 23.

For someone over 66 to qualify, they must have been entitled to a payment of Pension Credit on or before the qualifying date of September 25, 2022.

However, the Department for Work and Pensions (DWP) recently confirmed that new claims received before December 19, which later turn out to be successful, will receive the payment.

This is because Pension Credit is a retrospective benefit, which means it can be backdated by three months.

Even if someone is only awarded one penny they will qualify for the £324 payment.

DWP explained: “People do not have to do anything extra to backdate their claim. If they make their application online, they will automatically be asked about backdating, and if they make their application over the phone the adviser will talk them through this.”

Find out more about Pension Credit here.

People of State Pension age may be due up to three separate cash payments between November and February (Getty Images)

Winter Fuel Payment - up to £600

This year, a one-off pensioner cost of living payment (worth between £150 and £300) is being added to the annual Winter Fuel Payments, which are worth up to £300 depending on your household circumstances.

In total, these combined payments are worth up to £600 in heating bill help and will start to land in bank accounts from mid-November. The Department for Work and Pensions (DWP) has said that these should arrive no later than January 13, 2023.

It is not taxable and does not affect eligibility for other benefits. The money is paid per household.

To be eligible for this year's Winter Fuel Payment, you must have been born on or before September 25, 1956 and lived in the UK for at least one day during the week of 19 to 25 September 2022 - this is called the ‘qualifying week’.

We have a full list of how much to expect depending on your circumstances here.

You can find more information about the Winter Fuel Payment on GOV.UK here.

Winter Heating Payment (Scotland only) - £50

The £50 Winter Heating Payment will replace Cold Weather Payments in Scotland and is a one-off lump sum due to be paid in February, 2023 to help with energy bills.

Households on these benefits will qualify for the payment:

  • Universal Credit
  • Pension Credit
  • Income Support
  • Income-based Jobseekers Allowance
  • Income-related Employment and Support Allowance
  • Support for Mortgage Interest

Find out more about Winter Heating Payment here.

Other support paid directly to your supplier

Warm Home Discount - £150

The scheme officially opens in November, but some suppliers are taking applications now. The money is not paid to you - it’s a one-off discount on your electricity bill made directly to your supplier, between October 2022 and March 2023.

The list of energy suppliers participating in the winter 2022/23 Warm Home Discount scheme has not been updated on GOV.UK yet, but the £150 discount is normally automatically made to those on a low income or qualifying benefit.

If you live in Scotland, you qualify if you either:

We recently looked at the rule changes for the scheme which you can read here and there is a dedicated page to the Warm Home Discount section on each energy suppliers website on GOV.UK here.

£400 energy bills rebate

The £400 Energy Bills Support Scheme also started this month, giving households a monthly discount of £66 (£67 from December) off their electricity bill until March, 2023.

To keep up to date with the latest cost of living news, join our Money Saving Scotland Facebook group here or subscribe to our newsletter which goes out three times each week - sign up here.

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