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Over 80 per cent of Energy Bill Support Scheme prepayment vouchers redeemed

Which? says over 80 per cent of Energy Bill Support Scheme vouchers for traditional prepayment meter customers have been redeemed, and calls for the remaining households to be reached before 30 June 2023.

A newspaper on a kitchen table beside a model of energy bills and the price cap

Which? reported on 23 May 2023 that over 80 per cent of Energy Bill Support Scheme vouchers for traditional prepayment meter customers have now been redeemed1. The consumer body published the figure in a press statement from Rocio Concha, its Director of Policy and Advocacy, and called on government, energy suppliers and top-up outlets to reach households that have still not redeemed their vouchers1.

Which? said traditional prepayment meter customers are often on lower incomes1. Vouchers that are lost, missing or expired can still be reissued and redeemed until 30 June 2023, and Which? said the reissuing process should be as quick and easy as possible1.

Which? added that some households will still be missing out on much-needed financial support, and that government, energy suppliers and top-up outlets must "pull out all the stops" to reach anyone struggling to redeem their vouchers1. The statement also said customers on a traditional prepayment meter who have not received their vouchers, or are unsure how to redeem them, should get in touch with their supplier1.

The 80 per cent figure is the only redemption rate given. No breakdown by supplier, nation or voucher value has been reported, and no total number of unredeemed vouchers has been published1.

Which? said it launched a campaign in the autumn calling on businesses in essential sectors, including supermarkets, telecoms and energy, to do more to help their customers through the cost of living crisis, and has campaigned for the government and energy suppliers to improve the scheme for traditional prepayment meter customers1. In December, Which?, Money Saving Expert, National Energy Action, Citizens Advice and Age UK wrote a joint letter to energy firms calling on them to take immediate action to ensure traditional prepayment meter customers are able to access government support1.

Why it matters for households

For a household on a traditional prepayment meter, support under the closed Energy Bill Support payments arrived as a voucher that had to be redeemed, rather than as credit applied automatically to the account. That makes redemption a manual step, and one that can be missed if a voucher does not arrive, is mislaid, or expires before it is used. The gap between the 80 per cent redeemed and the remainder represents households that have not yet received support they are entitled to.

The practical effect sits alongside the wider price cap and the closed Energy Price Guarantee. For a prepayment household, credit on the meter is what keeps supply running; a meter that runs out leads to self-disconnection, and emergency credit is a separate, repayable facility rather than a grant. Vouchers that go unredeemed therefore do not simply sit as a balance: they leave a gap in the money available to keep the meter topped up.

The comparison between payment methods also matters, since prepayment and direct debit carry different standing charges and unit rates under the cap. The delivery route for traditional prepayment meters introduced a step that other payment methods did not have.

What happens next

Vouchers that are lost, missing or expired can be reissued and redeemed until 30 June 20231. After that date, no further reissue or redemption window has been reported1.

Sources1 cited
  1. Line on latest Energy Bill Support Scheme stats - Which?, which.co.uk