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Advice for Scottish citizens as £400 energy bill discount details revealed

The UK Government has announced details on how households will receive £400 to help with rising energy bills this autumn. There will be a discount of £66 applied to bills in October and November, and £67 a month from December to March 2023.

All households are eligible for the full £400, regardless of income. How the money is received will depend on how people pay their bills, and some prepayment may receive vouchers via text, email or in the post. 

energyadvice.scot, urge Scots to check they receive the money and look out for correspondence from their supplier. No household will be asked for their bank details to process payments, or to receive the rebates.

Conor Forbes, head of policy with Advice Direct Scotland, said:

“With energy bills soaring, it’s vital that households don’t miss out on these payments. For those on older prepayment meters, the key advice is to look out for your vouchers this autumn. And it’s important that everyone knows they will not be asked for their bank details, so that we can safeguard against fraudsters looking to exploit the scheme.

“With the energy price cap set to rise in October and bills predicted to reach £500-a-month in January alone, there is huge anxiety and concern among many Scottish households. There may be other financial support available, so we encourage anyone struggling with their energy bills to contact our advisers at energyadvice.scot for free and impartial advice.”

Announcement from Chancellor re Support for Energy Costs

On 26/5/22, the chancellor of the exchequer announced additional support in response to the cost of living and energy crisis. This replaces the energy bills rebate with a grant and is accompanied by additional support. 

The UK government will provide a £400 discount on energy bills for domestic electricity customers in Great Britain, including Scotland.

No, the rebate has been made a grant and does not need to be paid back. Originally, everyone was obligated to pay back £40/year for the next 5 years but this has been scrapped. 

The method of payment for prepayment customers  is yet to be confirmed.

This will be provided in October 2022.

No, this only applies if you are resident in England. It does not apply to Scotland.

  • Pensioner households who receive the winter fuel payment will receive an extra winter fuel payment of £300 from Autumn.
  • Those who receive non-means tested disability benefits(DLA, Attendance Allowance, Child disability payment and PIP) will receive a one-off £150 payment from September.
  • Those who receive means tested benefits (Universal Credit or legacy benefit(s)) will be sent a one-off payment of £650. This will be provided straight to the bank account of the eligible person. DWP will make the payment in two lump sums – the first from July, the second in autumn, with payments from HMRC for those on Tax Credits, following shortly after.

Ofgem Energy Price Cap Announcement - 16th of May 2022

The price cap on energy bills could be updated every three months to help households under new proposals from Ofgem. The regulator said a more frequent price cap would reflect the most up-to-date energy prices.

energyadvice.scot advisers are available on freephone 0808 196 8660 (Monday to Friday, 9am to 5pm). Advice Direct Scotland also provides a free benefits tool, including Scottish benefits, which can help people check what they are entitled to.

Conor Forbes, head of policy with Advice Direct Scotland, said:

“The recent energy price cap rise has had a devastating impact on household budgets, and it is likely there is worse to come with a further rise this autumn.

“Many Scots are being pushed into financial hardship, so measures to alleviate the pressure are welcome and should be explored.

“Anyone in Scotland who is struggling with their energy bills should not struggle alone – our advisers at energyadvice.scot are available to provide free advice on the support and assistance available to households.

“This includes ensuring you are claiming any benefits you are entitled to by using our free checker tool at www.advice.scot.

 

I've been billed twice for energy by the old supplier and the new one

Being transferred to a new supplier can sometimes result in being charged by both the new supplier and the old supplier or administrator at the same time.

Suppliers have confirmed that this is only caused by setting up direct debit with the new supplier and should not occur if it is set up automatically by the new supplier. Ofgem has confirmed that the previous supplier or appointed administrator should not charge direct debits when direct debit payments are made to a new supplier.

How do I know if I am being charged twice for energy?
Review recent bank statements and check if you have been billed twice for energy. You should account for any payments towards the old supplier to settle your final bill.

What should I do if I am charged by two suppliers?
Firstly, you should cancel any payments you are making to the old supplier. Ofgem has confirmed that their safety net will allow customers to receive any credit they are owed from the old supplier or administrator. You should contact the new supplier and explain the situation. They should arrange for any payments made to the old supplier to be returned to you. This requires them getting in contact with the old supplier and may take several months to complete.

A faster way to get money back from an old supplier is to use the Direct Debit Guarantee Scheme. This will ensure that a full refund is received without delay if any errors have been made. This can be done by contacting your bank or building society.

Important News - Switching Energy Supplier May Prove Problematic

Recent advice to switch energy suppliers in order to save money could prove problematic. Staying with your current energy supplier until the market settles is the best advice, with many comparison websites not allowing quotes to be completed.
 
For more information, visit our Knowledge Centre.

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We provide free, practical advice and information on energy-related matters to the citizens of Scotland.

We can provide advice and information if you:

  • Have basic or complex energy enquiries relating to your supplier
  • Wish to understand your energy supplier’s complaints process
  • Experiencing problems with your energy billing

We provide free, practical advice and information on energy-related matters to the citizens of Scotland.

We can provide advice and information if you:

  • Have basic or complex energy enquiries relating to your supplier
  • Wish to understand your energy supplier’s complaints process
  • Experiencing problems with your energy billing

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Home Energy Scotland offer free, impartial advice to help you stay warm at home, save energy and reduce your carbon footprint. Funded by the Scottish Government, Home Energy Scotland can also help you access financial support to make your home more efficient and cheaper to heat.

You can find out more at www.homeenergyscotland.org or call free on 0808 808 2282