Thousands of UK households are set to receive a £150 energy credit this month as part of the Government’s Warm Home Discount Scheme, designed to help with rising energy costs amid the ongoing cost of living crisis.
Utilita Energy, a leading electricity and gas supplier, confirmed that it began crediting customers with smart meters from January 7, with payments continuing throughout the month. Those without smart prepayment meters will receive their discount by March, when the scheme officially ends.
The £150 energy credit is a one-off discount applied to electricity bills for eligible households. For customers paying by direct debit, the amount will be automatically credited to their bills. Those with non-smart prepayment meters will receive vouchers by post.
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Eligibility for the scheme depends on residency and income criteria. In England and Wales, qualifying households are those receiving the Guarantee Credit element of Pension Credit or on a low income. In Scotland, recipients must either receive the Guarantee Credit or meet low-income criteria plus their energy supplier’s guidelines.
Importantly, households no longer need to apply for the Warm Home Discount; eligible customers will be identified and credited automatically.
Utilita Energy highlighted that this year’s payments have been delayed due to an expanded eligibility pool, meaning more customers qualify for support. As a result, the supplier must secure funding from the Department for Energy Security and Net Zero, expected in January 2026, which affects the timing of payments.
The firm stated: “Because more of our customers qualify for the Warm Home Discount compared to many other suppliers, we need to pay out a higher amount upfront. This is normal and expected, but this year we’re paying a lot more customers, so funding timing influences when we can make payments.”
They emphasized close coordination with government bodies and regulators to minimize delays and ensure customers receive the full payment as soon as possible.
Eligibility decisions and notifications are managed by the Department for Work and Pensions (DWP), not energy suppliers. If you believe you qualify but have not received confirmation, contact the DWP helpline at 0800 030 9322 to inquire or challenge the decision. You may need to provide information about your household, benefit status, or energy account during the process.