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Automatic £150 Energy Rebates to Benefit 345,000 Scottish Households

The Scottish government has announced a significant expansion of the Warm Home Discount scheme, with 200,000 additional households set to receive a £150 energy rebate on their electricity bills this winter. This decision comes after the Labour Party government confirmed major reforms to the Department for Work and Pensions (DWP) Warm Home Discount initiative.

Starting from winter 2026/27, approximately 345,000 Scottish households will automatically qualify for the Warm Home Discount, an increase of nearly 250,000 more households compared to the previous system.

Labour Party Energy Minister Miatta Fahnbulleh emphasized the scheme’s extension until 2031, stating, “We are extending the Warm Home Discount scheme until 2031, giving families certainty that support will continue to be there every winter. These changes mean hundreds of thousands more families in Scotland will get help automatically with their energy bills.”

READ MORE: DWP Updates Winter Fuel Payment Eligibility Dates for 2026–2027

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Currently, the automatic discount is available mainly to people on low incomes and those receiving the guarantee credit element of Pension Credit. However, fewer than 100,000 households in Scotland have benefited from automatic support, with most required to apply through their energy suppliers.

The government has confirmed that the scheme will now continue for the next five winters, through to 2030–31. Energy Consumers Minister Martin McCluskey highlighted that the reforms would eliminate barriers that previously prevented many eligible households from accessing aid. He said, “Families deserve automatic access to energy bill support when they need it most,” adding that the extension would offer millions peace of mind throughout the decade.

Consumer Scotland’s Chief Executive, Sam Ghibaldan, welcomed the five-year extension and the move to automatic payments, calling it “positive news for the many households that rely on the discount.”

Citizens Advice Scotland also responded, with Energy Spokesperson Molly Shevlin noting that thousands of Scots still face dire choices between heating their homes and incurring debt. She described the situation as “unacceptable,” asserting it reveals fundamental flaws in the energy market that demand radical reform.

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