Energy bill discount scheme 2022: Who in Leeds is eligible for new £400 fuel rebate & how to receive it?

The UK government has given further details on the Energy Bill Support Scheme and which households in Leeds will be eligible.

Friday, 29th July 2022, 12:21 pm

A lot of Leeds households have been seeing their wallets thinner this year as a result of the cost of living crisis leading to increased energy, fuel and food prices.

Households in the UK will be getting £400 off their energy bills this winter in a scheme to help with the rising energy costs.

The non-repayable discount will be paid out to 29 million households in the UK and is administered by energy suppliers and will be provided in six instalments starting in October 2022.

Here is everything you need to know about the £400 fuel rebate, who is eligible for the discount, and how to receive it.

Why are British households getting a £400 discount on energy bills?

A survey has found some people in the UK are returning to physical cash amid the cost of living crisis (image: Getty Images)

The UK is in the middle of a cost of living crisis after the energy price cap was increased by 54% in April 2022.

One of the main reasons for the price cap increase is the ongoing conflict in Ukraine caused by the Russian invasion, which has heavily disrupted the gas supply to Europe. This in combination with a cold European winter that drained a lot of supplies in Europe and the UK, made the price for gas more expensive to import.

The price cap is set to rise again in October, and is predicted to reach £3,420 a year per household. This means the total price cap increase in 2022 will be 74%. Utilities consultancy BFY Group predicts that energy bills could reach £500 in January 2023 alone.

The rising price of energy bills and a sharply rising inflation rate has caused millions of households around the UK to struggle with bills and food. This has caused the government to set up the Energy Bills Support Scheme in order to help households with their cost of living during the winter months.

Who in Leeds will be eligible for the £400 energy bill discount?

During today's (July 28) full council meeting, councillors accepted a motion submitted by the Liberal Democratcs and amended by Labour, to declare a cost of living emergency.

Every household in Leeds will be receiving a £400 energy bill discount over the winter months. There is also an additional £650 cost of living payment being made for families who are receiving Universal Credit, tax credits, pension credit and other benefits.

How will the £400 energy bill discount be paid?

The use of physical money has declined in the UK since the Covid pandemic (image: AFP/Getty Images)

The £400 energy bill discount will be paid out monthly in six instalments. Starting October 2022, each household in Leeds will get a £66 discount to their energy bills. This amount will increase to £67 from December 2022 through to March 2023.

There are different ways households will receive their £400 energy bill discount depending on how energy bills are being paid.

Households in Leeds who use Direct Debit for their energy bill payments will receive the discount as a deduction to their monthly Direct Debit amount collected.

Leeds households with smart prepayment meters will see the discount applied directly to their smart prepayment meters in the first week of every month.

Standard credit and payment card households will get their energy bill discount automatically applied as a credit to their standard credit account in the first week of each month.

Traditional prepayment households in Leeds will be provided with a redeemable discount voucher or Special Action Messages in the first week of every month via test, email or post which can be redeemed at their usual top-up point.

Any additional information can be found on the UK Government website.

What if I am not covered by the scheme?

Government officials have warned that there will be one-percent of households that can not be reached through the energy bill discount scheme.

This includes those who do not have a domestic electricity meter or a direct account with a supplier, such as park home residencies.

Additional details about further support for these households, such as how and when these Leeds households can access the support will be revealed in Autumn 2022.