The Department for Work and Pensions has confirmed that the Warm Home Discount scheme will reopen in October 2026, providing a one-off £150 payment to eligible households across England and Wales. The discount is applied directly to electricity bills rather than being paid into bank accounts, meaning those who qualify will see the amount deducted from what they owe.
Eligibility criteria for the Warm Home Discount
Households receiving the guarantee credit element of Pension Credit from the DWP are automatically eligible. However, the scheme also covers people on low incomes who claim certain means-tested benefits, including housing benefit, income-related employment and support allowance, income-based jobseeker's allowance, income support, the savings credit part of Pension Credit, or Universal Credit.
The DWP stated: "If you do not get the Guarantee Credit element of Pension Credit, you may still be eligible for the Warm Home Discount." It added that eligibility also depends on whether the energy supplier participates in the scheme and whether the applicant or their partner received qualifying benefits during the specified period.
Political context and energy policy
The scheme continues under the new Prime Minister, Andy Burnham, who took office on July 20. Burnham has prioritised the cost of living in his policy agenda. Reports suggest he may ease restrictions on new oil and gas drilling, a move criticised by the Green Party.
Adrian Ramsey, Green Party MP, said: "With heatwaves causing deaths, wildfires and extreme weather across the country, approving new oil and gas drilling is exactly the wrong response and will do nothing to bring down energy bills." He added: "The science is clear: if we are serious about limiting climate breakdown, we cannot keep opening up new fossil fuel projects. Greens support a just transition that protects workers and communities while accelerating investment in renewable energy, not doubling down on the fuels driving the crisis."
How to check eligibility
Eligible individuals can check the official GOV.UK website for the Warm Home Discount to confirm their qualification. The DWP will reopen the scheme in October, and eligible households are advised to verify their energy supplier's participation and benefit status during the qualifying period.
