Millions of people have faced financial hardship over the past two years.
The coronavirus pandemic has led to many losing jobs and struggling to pay bills as all industries were hit with economic uncertainty and inflation hit a 30-year high.
This has been made worse by the ongoing energy crisis which has led to the closure of many energy providers and created further worry for families and individuals who are struggling to heat their homes.
The Chartered Institute of Plumbing and Heating Engineering (CIPHE) estimates that gas and electricity prices are set to increase by as much as 50% for some households when the energy price cap changes in April 2022.
But thankfully there are some ways you can get help if you're struggling to pay your energy bills this winter.
Talk to your supplier
If you're falling behind with your energy bills or struggling to pay, you should contact your supplier as soon as possible. Under rules from regulator Ofgem your supplier has to help you, usually by negotiating a payment plan that you can afford, according to MoneySavingExpert.
So don't panic – your supply won't be cut off. Due to ongoing additional support measures put in place due to the coronavirus pandemic, disconnections of standard credit meters have been suspended.
There are a range of options suppliers could offer if you're struggling, including a full payment plan review, affordable debt repayment plans, payment breaks, payment reductions or getting more time to pay.
Get help through a provider's hardship fund
All the big energy firms have charitable trusts and funds that can help if you're in debt and struggling to repay. You'll usually need to be a customer of the firm to apply for help, though with the British Gas Energy Trust anyone can get help. Help is also available from EDF Energy Customer Support Fund, E.on Energy Fund, E.on Next Energy Fund, Scottish Power Hardship Fund and Ovo Energy Fund for those companies' customers. To check if you can apply contact your provider directly.
Check if you qualify for the warm home discount
The warm home discount scheme requires suppliers with more than 150,000 customers to help vulnerable people in the UK pay for their energy each winter.
This isn't paid directly to you but instead is a £140 rebate applied to your electricity bill between October and March. If you're on a prepay meter, you'll usually be sent a top-up voucher.
If you get pension credit, you should get the rebate automatically. To get it you'll need to be with a bigger firm and you or your partner will need to be in receipt of the 'guarantee credit' element of pension credit, and your name (or your partner's) will need to be on your energy bill as of July 4, 2021.
You may also qualify if you are on certain benefits but you must apply. According to MoneySavingExpert, only three suppliers' discounts are still open - E.on, Bulb and So Energy. If you don't qualify for the above, you can still apply if you’re on a low income and on certain means-tested benefits. Check out the full eligibility criteria here.
Check if you qualify for the Winter Fuel Payment
The Winter Fuel Payment, often referred to as a 'heating allowance', is an annual tax-free payment from the Department for Work and Pensions. Anyone who is eligible can receive between £100-300 each year.
Every household with someone born on or before September 26, 1955 is entitled to help towards their winter energy costs. Provided you lived in the UK for at lease one day between September 20 and 26, 2021 you should get the payment regardless of income. For more information click here.
Check if you are entitled to money from the cold weather payment scheme
The cold weather payment is a payment you can receive if the average temperature in your area is recorded as, or forecast to be, zero degrees celsius or below over seven consecutive days.
You’ll get £25 for each seven-day period of very cold weather between November 1, 2021, and March 31, 2022.
You may get cold weather payments if you’re getting benefits including pension credit. Check out our guide here for more info.
Ask if your council can help you
Under the household support fund, local councils have access to a pool of £500 million in funding to help those most in need. The cash is available to local councils to spend between October 2021 and March 2022, and is aimed at giving out small grants to meet daily needs such as energy bills and ther utilities.
Eligibility varies depending on the council, but you can check your council to find out who to contact here.
Ask for financial advice from charities
There are a number of organisations and charities offering help and advice if you're struggling to meet your energy costs.
If you're struggling you can find out more or ask for advice through the likes of Citizens Advice, StepChange, Money Helper and National Debt Line.
Get help through the debt respite scheme
The debt respite scheme is a government scheme that can relieve some of the pressures and stress of being in debt.
If you pass eligibility, your creditors are informed and must stop collection or enforcement activity, and won't be able to add interest or fees to your debt for up to 60 days.
To check if you are eligible click here.
Pay energy bills directly from your benefits
If you're on certain benefits you may be able pay directly from those instead under a scheme known as Fuel Direct or 'third party deductions' which lets you have a small, fixed amount deducted directly from your benefit payments each week to go towards paying off energy debt.
If you claim universal credit a fixed rate of 5% of your entitlement can be deducted and paid directly to your supplier for gas and electricity.
For other benefits a set amount of £3.70 will be directly deducted each week to pay off the debt you owe, plus an additional amount to cover your ongoing usage.
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