RISHI Sunak has announced that EVERY household in the UK will get a £400 energy bill discount.
The Chancellor announced the measure as part of a bumper package of support to help Brits with the spiralling cost of living crisis.
4
4
The energy discount will be dished out to households from October and payments will be paid in instalments over the successive six months.
It will replace current plans for a £200 energy rebate, which households were told they would have to pay back over five years.
Under original plans, the discount was to be dished out to households in October, with repayments automatically repaid from people’s bills in £40 instalments from April next year.
Now every household will get a £400 grant which you WON’T have to pay back through higher energy bills in later years.
Mr Sunak said the grants will be dished out via energy companies.
He will fund the measures by introducing a windfall tax on oil and gas firms.
Announcing the help, Mr Sunak said households are “being hit hard” by spiralling bills, and the government would be giving “significant support to the British people” to help them get by.
It comes as the Chancellor announced:
Most read in Money
The package of measures are to support households with soaring energy bills and record-high inflation.
Earlier this week the boss of Ofgem predicted that bills could hit £2,800 in October.
The government announced help for households back in February, including the £150 council tax energy rebate for four in five households.
But the cost of living crisis has deepened since then and there are widespread calls to give more help to families struggling to get by.
The boss of one of Britain’s biggest energy companies warned the cost-of-living crisis could endure for more than a year and a half.
Inflation is currently 9% and could rise further to 10% the Bank of England has warned.
Wholesale energy costs are going up due to global supply issues and the war in Ukraine.
While the price cap prevents these increase being passed on to consumers immediately, the price cap is based on the wholesale costs when it’s reviewed creating a “shock” rise twice a year when they go up.
Ofgem is considering more regular reviews of the cap to spread out rises, and pass on any falls earlier.
How do I get the £400 payment?
The £400 payment will be delivered via your energy supplier.
Direct debit and credit customers will see their money credited to their account.
While customers with pre-payment meters will have the money added to their meter, or they will receive a voucher.
The government has not confirmed if, like the previous £200 energy rebate plans, households will get the payment automatically.
We have asked for more information and will update this article when we know more.
Petrol prices have hit record highs in recent months while the price of some basic food items have shot up by as much as 60%.
One mum told The Sun how she worries that she won’t be able to feed her kids or keep her fridge running due to soaring energy bills.
4
4
We pay for your stories!
Do you have a story for The Sun Online Money team?
