Reintroduce the Energy Bills Support Scheme for winter 2023/24

Although energy prices are decreasing, they still remain well above normal levels. I believe the best course of action the UK Government can take is to reintroduce the Energy Bills Support Scheme for winter 2023/24 which was a massive help for households earlier this year.

Many households are feeling the pinch during the cost of living crisis and reintroducing this scheme will benefit every household.

It's important that no household should be unable to afford energy for heating or cooking but without this scheme being in place for winter 2023/24 I believe this will be the case.

I strongly believe the best way of funding this important scheme would be another windfall tax on the profits of energy companies.

The Government recognises the cost of living challenges families are facing and spent over £40 billion last winter helping households and businesses, covering around half a typical household’s energy bill, worth £1,500 between October 2022 and June 2023.

The outlook for energy prices has improved significantly this year. The Q4 2023 Ofgem price cap of £1,834 has more than halved compared to the Q1 2023 price cap which stood at a high of £4,279, which is good news for households who have seen their energy prices fall.

The Government continues to provide support for the most vulnerable households. This year’s Cost of Living Payment has increased from £650 in 2022/23 to £900 in 2023/24 and is helping 8 million eligible households. This is alongside the £150 Disability Cost of Living Payment and £300 Pensioner Cost of Living Payment.

These cost of living payments are additional to the ongoing support provided every winter, including the £150 Warm Home Discount which supports 3 million households in Great Britain, this has been expanded to capture an extra million people. The Government is also continuing to explore options to make the Warm Home Discount more flexible.

On top of this support, the Winter Fuel Payment (worth between £250 and £600) and Cold Weather Payments of £25 paid during very cold weather are also available for those most in need.

The Government welcomes Ofgem’s review of energy bills standing charges. We have been clear about our expectations that energy prices need to be set fairly, protecting the most vulnerable households.

The Secretary of State for Energy Security and Net Zero recently chaired a roundtable with energy suppliers to set expectations and reiterate the importance of protecting vulnerable customers. The Government will continue to engage energy suppliers and keep the situation under close review.

As a result, there are no plans to reintroduce the Energy Bills Support Scheme this winter.

Department for Energy Security & Net Zero

This is a revised response. The Petitions Committee requested a response which more directly addressed the request of the petition. You can find the original response towards the bottom of the petition page (https://petition.parliament.uk/petitions/637663)