Government respond to WHD consultation

With the Government responding to the Warm Home Discount consultation, we now know some of the main elements of the new look scheme beginning next winter.

• The overall budget for WHD will increase from £354m each year to £475m. This increase will allow for 750,000 more customers to receive an increased £150 rebate.
• The Broader Group element of WHD will no longer exist. Core Group will continue as Core Group 1, and a new Core Group 2 will be added to replace Broader Group. Those eligible for this new Core Group will be eligible based on their income and property circumstances.
• The Industry Initiatives aspect of WHD will become compulsory for obligated suppliers with a total spend of £40m.
• It is intended that a new £5m industry initiative is developed to support disabled households. This new scheme will aim to offset non-means tested disability benefit no longer being a criteria for receiving the £150 rebate.
• Debt write-off will continue, and a cap set at £6m, £3m of which will be spent on pre-payment meter customers. Financial Assistance for customers will continue with a minimum spend of £5million and maximum of £10m.
• A separate scheme will be developed for Scottish customers – but the details of this are not yet clear and will be consulted on further.
• All suppliers with 50,000 customers and above will be obligated as part of WHD from next year. The following year all suppliers with 1,000 customers and above will engage in the scheme.

Charis has managed Warm Home Discount schemes on behalf of several major energy suppliers over the past decade and look forward to working with our partners as we put in place an updated WHD next winter.

Talk to the team today to find out about programmes we offer to support energy suppliers help their customers and meet Warm Home Discount obligations.