The Energy Bill Support Scheme has ended, National Energy Action said on 15 March 2023, leaving households £67 a month worse off1. The charity, which campaigns on fuel poverty, gave the assessment in its reaction to the Budget published the same day1.
The Energy Price Guarantee was extended at its current level, which NEA said means the average annual bill will be around £2,5001. Prepayment customers will no longer be charged more than direct debit customers to receive their energy, a change NEA said it had long campaigned for1. The charity also said energy bills from April will be higher than they have ever been during the crisis1.
"But, the Energy Bill Support Scheme has ended, meaning households will be £67 a month worse off."
NEA put the number of UK households in fuel poverty at 7.5 million, up from 6.7 million1. Its chief executive, Adam Scorer, said the cost of a warm and safe home is still out of reach for millions1. The figures cover the period after the support ends; the source does not break them down by nation, and no separate rates for Scotland, Wales or Northern Ireland are given1.
| Change reported by NEA | Effect |
|---|---|
| Energy Price Guarantee extended at current level | Average annual bill around £2,5001 |
| Prepayment premium removed | Prepayment customers charged no more than direct debit customers1 |
| Energy Bill Support Scheme ended | Households £67 a month worse off1 |
| Fuel poverty households | 7.5 million, up from 6.7 million1 |
The Energy Bill Support Scheme has closed, and its closure is covered in the site's page on closed Energy Bill Support payments. The guarantee that remains in place is described in the page on the Energy Price Guarantee.
Why it matters for households
The £67 a month was a fixed credit applied to bills, so its removal raises the amount a household pays each month without any change in how much energy it uses1. The extension of the Energy Price Guarantee caps the unit rate rather than the total bill, so a home that uses more energy still pays more, and the average figure of around £2,500 is not a ceiling on any individual household's costs1. For a home's energy independence, the practical effect is that more of the cost of heating and power falls on the household itself, and the gap between what a home uses and what it pays widens at the point the credit stops1. Households on prepayment meters see one element of the change in their favour, since they are no longer charged more than direct debit customers for the same energy1. The rise in fuel poverty from 6.7 million to 7.5 million households indicates that more homes are unable to afford adequate warmth after the change1. The wider relationship between bill levels and household control over energy costs is set out in the page on energy bills and energy independence.
What happens next
The support ends and the higher bills take effect from April 20231. No further replacement payment has been reported1. NEA directs households to its energy crisis and energy help pages for advice and support1.