The £400 support for every UK household to assist with rising energy bills is to be paid in six instalments.
Households will see a discount of £66 applied to their energy bills in October and November, and £67 a month from December to March 2023.
The money will be paid depending on how you currently pay your bill. All customers with a domestic electricity meter who pay by direct debit, either monthly or quarterly, or by card will see an automatic deduction off their bills. Those with “smart” prepayment devices will see an automatic monthly top-up added to their account.
Back in May when this was announced, a typical household should expect to see an £800 increase in October, to £2,800 a year. However, it is now known this falls far short of true figures, which could be up to £3,244 a year from October, then £3,363 a year from January. There are also predictions that it could go even higher before the summer is out. As such, many people have suggested the support payments fall short too.
Financial guru Martin Lewis noted this week that the price rises in October could be as much as 77% on top of existing bills, noting it would prompt a winter fuel crisis the likes of which hasn’t been seen. He and other financial group have asked the UK government for further action for all households and to consider how they deal with large energy corporations.