Warm Home Discount 2026 — Eligibility, Amounts & How to Apply

The Warm Home Discount (WHD) is a UK government scheme that provides a one-off £150 discount on your electricity bill each winter. It is designed to help low-income and vulnerable households cope with rising energy costs during the coldest months of the year. The scheme has been running since 2011 and is renewed annually, with the current iteration covering the 2025/26 winter period from October through to March.

Unlike some benefits that arrive as cash payments, the Warm Home Discount is applied directly to your electricity account. If you pay by direct debit, it appears as a credit on your bill. If you use a prepayment meter, you receive a voucher to top up your meter instead. The discount is not taxable and does not affect any other benefits you receive.

The scheme operates across England and Wales. Scotland previously participated but now runs its own separate Warm Home Discount scheme through the Scottish Government with slightly different eligibility rules. If you live in Scotland, you should check the Scottish Government website for details specific to your area.

It is important to understand that the Warm Home Discount is not automatic for everyone. Whether you receive it automatically or need to apply depends on which eligibility group you fall into — known as Core Group 1 and Core Group 2. We explain both groups in detail below.

Eligibility for the Warm Home Discount falls into two distinct categories. The rules were significantly reformed in 2022 to better target support at the households that need it most. Under the current system, your eligibility depends on your benefits status and your property characteristics.

Core Group 1 includes people who receive the Guarantee Credit element of Pension Credit. If you fall into this group and your energy supplier participates in the scheme, you will receive the discount automatically — you do not need to apply. The Department for Work and Pensions (DWP) matches your details with participating energy suppliers and arranges the credit on your behalf.

Core Group 2 covers a broader range of low-income households. To qualify under this group, you must meet both of the following conditions: you must be receiving certain qualifying benefits (such as Universal Credit, income-based Jobseeker’s Allowance, income-related Employment and Support Allowance, or Income Support), and your property must have high energy costs relative to its size. The government uses data about your home’s energy performance to determine this.

Under the reformed scheme, Core Group 2 eligibility is also assessed automatically using government data. However, because data matching is not always perfect, some eligible households may be missed and need to contact their supplier. If you believe you qualify but have not received a letter confirming your discount, it is worth contacting your energy supplier directly.

For most eligible households, the Warm Home Discount is now applied automatically thanks to government data matching between the DWP, energy suppliers, and the Valuation Office Agency. If you qualify, you should receive a letter between October and December confirming that the discount will be applied to your account.

However, there are situations where you may need to take action:

• You believe you qualify but have not received a letter: Contact your energy supplier directly. They can check whether you were identified through the data matching process and, if not, may be able to manually assess your eligibility.
• Your details have changed: If you have recently moved home, switched energy supplier, or had a change in your benefits, the automatic matching may not pick you up. Let your supplier know about the changes.
• You are on a prepayment meter: Your supplier should still identify you, but prepayment customers sometimes fall through the cracks. Contact your supplier if you have not heard anything by January.

There is no online application form for the Warm Home Discount. The process is handled entirely through your energy supplier and the DWP. When contacting your supplier, have your account number, National Insurance number, and details of any benefits you receive ready to speed up the process.

The deadline for receiving the discount is usually the end of March. If your supplier confirms you are eligible, the credit should appear on your account within a few weeks. Do not leave it until the last minute — contact your supplier as early in the winter as possible if you think you may have been missed.

The Warm Home Discount is a flat £150 discount applied to your electricity bill. This amount has remained the same since the scheme was reformed in 2022, when it was increased from £140. The discount is the same regardless of whether you fall into Core Group 1 or Core Group 2.

While £150 may not cover your entire winter energy bill, it represents a meaningful reduction. For context, the average UK household spends roughly £100–£130 per month on gas and electricity during winter. A £150 credit therefore covers approximately five to six weeks of electricity costs for a typical home.

The discount is applied only to your electricity account, even if you have a dual-fuel tariff with the same supplier. This is because the Warm Home Discount scheme is funded through a levy on electricity suppliers, not gas suppliers. If you are in credit on your electricity account after the discount is applied, that credit will carry forward and reduce future bills.

It is also worth noting that the Warm Home Discount can be combined with other winter support payments. You can receive the WHD alongside the Winter Fuel Payment, Cold Weather Payment, and any local authority hardship grants. These payments are all assessed independently, so claiming one does not disqualify you from another.

If you use a prepayment meter rather than paying by direct debit or quarterly bill, you are still entitled to the Warm Home Discount if you meet the eligibility criteria. However, the way you receive the discount is slightly different.

Instead of a credit being applied to your account, prepayment meter customers receive a voucher or top-up code worth £150. The type of voucher depends on what kind of prepayment meter you have:

• Traditional key or card meters: You will receive a voucher (usually by post or text message) that you can redeem at your usual top-up point, such as a PayPoint or Post Office location.
• Smart prepayment meters: The credit may be applied directly to your meter remotely by your energy supplier, or you may receive a code to enter on your in-home display.

Vouchers typically arrive between December and March. They usually have an expiry date, so it is important to redeem them promptly. If your voucher expires before you use it, contact your energy supplier — they may be able to reissue it.

One common issue for prepayment customers is that their details may not match correctly in the government data-matching system. If you are on a prepayment meter and believe you qualify for the WHD but have not received a voucher by February, contact your energy supplier as soon as possible to ensure you do not miss out.

Not every energy supplier in the UK participates in the Warm Home Discount scheme. Under current rules, all suppliers with more than 150,000 domestic customers are required to participate. Smaller suppliers may participate voluntarily but are not obligated to do so.

The major suppliers that participate include:

• British Gas (Centrica)
• EDF Energy
• E.ON Next
• Octopus Energy
• OVO Energy (including SSE customers)
• Scottish Power
• Shell Energy
• Utilita

If your supplier does not participate in the scheme, you will unfortunately not be able to receive the discount through them, even if you would otherwise be eligible. In this situation, you have two options: you can switch to a participating supplier (though you should compare tariffs first to ensure switching is financially worthwhile overall), or you can check whether your supplier offers its own hardship or discount scheme as an alternative.

The full list of participating suppliers is published by Ofgem each autumn when the scheme opens for the new winter period. It is worth checking the Ofgem website if you are unsure whether your supplier is included, particularly if you are with a smaller or newer supplier.

The Warm Home Discount is just one of several forms of support available to help UK households manage winter energy costs. By combining multiple schemes and taking practical steps, you can significantly reduce the financial burden of heating your home.

Stack Your Support Payments

If you are eligible for the WHD, there is a good chance you also qualify for other payments. The Winter Fuel Payment (worth £100–£300 for pensioners), Cold Weather Payment (£25 for each seven-day cold spell), and various local authority grants can all be claimed alongside the Warm Home Discount. Check each scheme separately, as eligibility criteria differ.

Reduce Your Energy Usage

Practical measures can deliver savings that last well beyond a single winter:

• Draught-proofing: Sealing gaps around doors and windows costs as little as £20–£50 in materials and can save £60–£80 per year on heating bills.
• Thermostat management: Reducing your thermostat by just 1°C can cut heating bills by roughly 10%, saving a typical household around £80–£100 annually.
• Loft insulation: If your loft has less than 270mm of insulation, topping it up can save £150–£250 per year. Grants may be available through the Energy Company Obligation (ECO) scheme.
• LED lighting: Replacing old halogen bulbs with LEDs across your home can save £40–£65 per year.

Review Your Energy Tariff

Many households are paying more than they need to simply because they have never compared tariffs or have rolled off a fixed deal onto a more expensive variable rate. Reviewing your tariff regularly and switching when better deals are available is one of the most effective ways to keep bills down. Even a small difference in unit rates can add up to hundreds of pounds over the course of a year.

At SaveFirst, we help households identify every available discount, grant and tariff saving — not just the obvious ones. If you would like a free review of your energy costs, get in touch with our team.