The British Gas Energy Trust published its response to Ofgem's Debt Relief Scheme (DRS) working paper consultation on 28 August 20251. The Trust, which runs its own energy debt relief grants, said it supports a targeted one-off scheme if it forms part of a broader solution for households unable to pay past energy debts but able to manage future costs1.
The Trust said a simple, binary eligibility process is essential to reduce ambiguity and administrative burden, and that relying solely on means-tested benefits to determine eligibility may be insufficient1. It suggested a wider evaluation covering total household income, vulnerability factors such as disability or caring responsibilities, the amount and duration of energy debt, and capacity to meet ongoing energy costs after assistance1. On the proposed 5% customer contribution, the Trust said it supports the idea as it may encourage engagement and responsibility, but is concerned it could prevent vulnerable households who genuinely cannot afford the amount from accessing support, and that further consideration is needed on whether the payment should be one-off or spread over time1. It also asked how the contribution affects repayments for debt incurred after 20241.
The Trust said compulsory participation in money advice is essential, and that its own grants require recipients to access money and energy advice1. It published figures comparing outcomes for grant recipients with and without advice1:
| Group | Not in debt after 3 months | Not in debt after 6 months |
|---|---|---|
| Debt write-off, winter 2021-2022, no money advice | 61% | 53% |
| Debt write-off grants, July 2022 to April 2023, with money advice | 81% | 84% |
An analysis of the Trust's impact by Oxford Economics, published in May 2024, concluded that combining practical help such as debt grants and fuel vouchers with holistic, person-centred support significantly improved the lives of beneficiaries1.
The Trust agreed that available DRS support should be capped as at the statutory consultation date, and agreed with the proposed conditions for both engaged and currently disengaged customers1. It said many energy suppliers lack capacity for intensive engagement or large-scale support, so within the DRS they will be unable to match the engagement and support offered by the Trust's debt relief grants and 41 funded projects1. It also raised the risk that the DRS may not fully align with existing supplier and charity debt relief schemes, and said further examination is needed to ensure it enhances rather than undermines existing support1.
"Many energy suppliers lack capacity for intensive engagement or large-scale support, so within the DRS they will be unable to match the engagement and support offered by the Trust's debt relief grants and 41 Funded projects."
Why it matters for households
Energy debt relief decides whether a household starts the next billing year owing nothing or carrying arrears that standing charges keep adding to. The Trust's figures suggest the difference between clearing a debt alone and clearing it alongside advice is the difference between roughly half and roughly five in six recipients still being out of debt six months later1. Its argument that eligibility should look beyond means-tested benefits, and its concern that a 5% contribution could exclude those who cannot afford it, go to whether help reaches households with the least capacity to pay1. The Trust's point that suppliers may lack capacity for intensive engagement bears on how much support a household actually receives once a scheme is running1. The Ofgem consultation process itself, and how responses feed into final rules, is set out in the site's guide to energy consultations. Households in dispute with a supplier over debt or billing can find routes through energy complaints and redress.
What happens next
The Trust's outreach programme expands to a year-long initiative for 2025-26, launching on 16 September with the Zinthiya Trust in Leicester1. Through 20 local partners it will deliver advice and support at 120 events, with locations selected based on deprivation index and British Gas debt data1. Ofgem's decisions on the DRS itself, including whether the scheme proceeds and on what terms, have not been reported1.
Sources1 cited
- The Trust's response to Ofgem Debt Relief Scheme (DRS) working paper consultation - British Gas Energy Trust, britishgasenergytrust.org.uk