What is the Energy Bill Relief Scheme?
The new scheme is designed to help non-domestic energy customers by providing financial assistance on energy bills.
It took effect on the 1st of October and currently, the plan is for it to end on the 31st of March 2023. Discounts will be applied to gas and electricity unit prices during this timeframe.
Who is eligible for the Energy Bill Relief Scheme?
As mentioned previously, those on a non-domestic contract will be able to take advantage of this scheme and this includes businesses, voluntary sector organisations (such as charities) and public sector organisations (such as schools, hospitals and care homes).
Those who fall under these categories will need to be:
- On existing fixed price contracts that were agreed either on or after the 1st of December 2021.
- On signing new fixed price contracts.
- On deemed/out of contract or variable tariffs.
- On flexible purchase or similar contracts.
How much will my energy bills be?
The discount on your gas and electricity unit prices will be calculated by taking the estimated wholesale portion of the unit price you would be paying this winter, and then comparing it to a baseline ‘government supported price’ – this is lower than wholesale prices currently expected for the upcoming winter months.
The ‘government supported price’ will be the same amount across all suppliers and is set at:
- Electricity – £211 per megawatt hour (MWh)
- Gas – £75 per MWh
It is worth noting though that the absolute level of individual bills will continue to vary.
How can I claim for the Energy Bill Relief Scheme?
You won’t need to apply for the scheme, as the discount will be automatically deducted from your energy bills.
What happens after the scheme’s end date?
The support will continue until the 31st of March 2023 and what will happen after this date will all depend on the results of the government’s review.
The government plans to conduct a review of the scheme in three months and this is to assess the following information:
- How effective the scheme has been in giving support to vulnerable, non-domestic customers.
- Which groups of non-domestic customers remain vulnerable to energy price rises.
- The extent to which the scheme could either be extended or further targeted.
Hopefully this page has answered some of your questions, but if you have any further queries, our team of experts are available to help, so give us a call on 01442 795 100 or email email@example.com.