The UK government has confirmed an extension to the Warm Home Discount for the Winter 2025/26 period, meaning around 2.7 million low-income households (including 900,000 families with children) will become eligible for the scheme from October 2025.
But many are asking, what’s changing about the Warm Home Discount for 2025?
What is the Warm Home Discount?
The Warm Home Discount is a UK government scheme that offers lower-income households a one-off £150 reduction on their electricity bill between October and March for those who live in England, Scotland and Wales.
The discount can be applied to your gas bill instead, but only if your supplier provides you with both gas and electricity, and you’re eligible. You can contact your provider directly to find out.
Who is Eligible for the 2025 Warm Home Discount?
You are automatically eligible for the 2025 Warm Home Discount if you live in England or Wales and receive any of the following means-tested benefits on the qualifying date for the payment (Monday 25th August 2025):
- Housing Benefit
- Income-related Employment and Support Allowance (ESA)
- Income-based Jobseeker’s Allowance (JSA)
- Income Support
- Pension Credit (both the Guarantee Credit and Savings Credit elements will count)
- Universal Credit
Scottish residents are also automatically eligible, but only if they receive the Guarantee Credit element of Pension Credit. If you receive any of the other means-tested benefits, you will need to contact your energy provider to apply if you are on a low income.
What’s Changing About the Warm Home Discount for 2025?
The UK government has confirmed that 2025’s Warm Home Discount will scrap the existing ‘hard to heat’ criteria, meaning millions more will receive a reduction in their energy bills this winter.
What Were the Warm Home Discount Scheme’s ‘Hard to Heat’ Criteria?
The ‘hard to heat’ criteria (otherwise known as the ‘high energy costs’ criteria) assessed the energy use of households across England, Scotland and Wales using an algorithm that looked at the Valuation Office Agency (VOA) data on each home. However, this didn’t factor in energy efficiency or a home’s condition.
This meant the algorithm wrongly assumed a household had low usage, when in reality they didn’t. Additionally, where there was no data, homes were asked to provide an EPC (Energy Performance Certificate) which can cost up to £120 to produce.
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Warm Home Discount 2025: FAQs
Yes, you are eligible for the 2025 Warm Home Discount if you live in Scotland. But most will have to apply for the payment in October. Here’s a full breakdown of the Scottish eligibility criteria:
- The payment will be automatic for those receiving the Guarantee Credit element of Pension Credit
- Scottish residents who receive any of the scheme’s other applicable means-tested benefits will have to contact their energy provider to apply for the discount
The Warm Home Discount scheme’s other applicable means-tested benefits include:
- Housing Benefit
- Income-related Employment and Support Allowance (ESA)
- Income-based Jobseeker’s Allowance (JSA)
- Income Support
- Universal Credit
No, the Warm Home Discount scheme is not available in Northern Ireland. But the Northern Ireland Housing Executive (NIHE) does have its own equivalent scheme called the Affordable Warmth Scheme.
The scheme aims to help Northern Irish residents who are struggling with fuel poverty and energy inefficiency. It’s directed at low-income households facing high energy bills. You can find out more about the eligibility criteria on the NIHE website.
Yes, you are eligible for the Warm Home Discount, even if you use a pre-pay or pay-as-you-go electricity meter. All you need to do is contact your electricity provider and ask how you’ll receive the discount, e.g. a voucher you can use to top-up your meter.
Eligible households will get the 2025 Warm Home Discount (£150) applied to their electricity bill anytime between October 2025 and March 2026. The exact timing depends on your energy supplier.
