The Energy Bills Support Scheme (EBSS) is the Government’s discount on every households electric bills this winter to help with rising cost of energy bills. All households across Great Britain will receive a £400 discount, paid in six instalments from October. In addition to this the Energy Price Guarantee has also been put in place to cap the unit rates and standing charges for gas and electricity.
The Government has announced new measures to help UK households with rising energy bills. The new Energy Price Guarantee means that the cost of energy for the average home will be no more than £2,500 a year for the next two years from October 1st 2022.
This support is in addition to the previously announced £400 Energy Bill Support Scheme discount on electricity bills – you can find out more about this below.
Customers on variable tariffs, in England, Scotland and Wales, who pay by Direct Debit, will see their unit rates and standing charges capped at:
- Electricity: 34p per kWh with a standing charge of 46p per day
- Gas: 10.3p per kWh with a standing charge of 28p per day
Rates will vary slightly depending on your location and the type of tariff you’re on. The discount will be applied to your energy bills automatically and you don’t have to do anything.
From British Gas:
“If you’re currently on one of our fixed-rate tariffs that are priced above the Energy Price Guarantee, we’ll automatically discount your unit rates from 1st October. If the discount does not bring you in line with the Energy Price Guarantee, we’ll be in touch by letter or email with the option to switch to our standard variable tariff to ensure you’re offered the cheapest tariff.”
In all cases the payment will be made automatically – there is no need to contact British Gas. How you receive it will depend on how you pay for your energy:
- If you pay by Direct Debit British Gas will send the money straight to your bank each month – like a refund – once your Direct Debit has gone through. If your monthly Direct Debit payment is lower than the monthly discount value, the remaining balance will be applied to your energy account.
For example: - If your Direct Debit is £100 a month, you’d pay that as normal. Then a few days later, £67 will be paid in to your bank account. If your Direct Debit is less than £67 a month, say £50 for example, £50 will be refunded to your bank account and the remaining £17 will be applied as credit to your energy account.
- If you pay by quarterly cash or cheque your discount will be applied to your account balance each month.
- If you have a smart prepayment meter your discount will be applied to your meter by the 5th working day of each month, just like a top up.
- If you have a traditional prepayment meter you’ll get your discount via vouchers in the post by the 11th working day of each month. You can redeem your voucher at the Post Office and use it to top up there. Instructions on how to use your voucher will be included.
- If you have a Payment card (Mag card)
you’ll get your discount via vouchers, which you can then cash in at the Post Office. Full instructions on how to redeem will be included with the vouchers.
Please note, other suppliers may apply the discount in a different way.
More Details – https://www.britishgas.co.uk/energy/help-if-youre-struggling-to-pay/government-support.html
