Little-known scheme for thousands on state pension to get £200 energy bill discount this winter as fuel payments cut
THOUSANDS of pensioners could get up to £200 to help with energy bills this winter after the fuel payment was cut.
Millions are set to miss out on the £300 help which previously went to anyone regardless of income.
Octopus Energy has now introduced a new scheme to help fill the gap, offering pensioners discretionary credit of between £50 and £200.
Chancellor Rachel Reeves announced in July that Winter Fuel Payments will now only be paid to those on Pension Credit and other means-tested benefits.
Despite a backlash over the move, with some claiming the poorest will still miss out, the new rules were passed in parliament yesterday.
A total of 348 MPs backed the government decision, while an opposition of 228 failed to overturn the October cut.
This decision followed Reeves’ big reveal that there is a £22bn ‘black hole’ in public finances.
Households will now only get the winter fuel payment, worth up to £300, if they are getting a number of benefits:
- Pension Credit
- Income Support
- Income-based Jobseeker’s Allowance
- Income-related Employment Support Allowance
- Universal Credit
It also comes as energy bills are set to rise from October 1 by £149 a year for the average dual fuel bill, though the exact amount you pay will depend on usage.
What is the Octopus support fund?
Octopus Energy has now extended it’s support fund in light of the cut, so that pensioners not claiming pension credit can access the fund.
It’s Octo Assist Fund offers discretionary credit of between £50 and £200.
It also offers benefit checks to make sure that customers are getting the payments they are entitled to.
The fund has already helped more than 80,000 customers who are struggling financially.
Lower income pension households who don’t receive pension credit can apply.
To find out what you can get, you can contact Octopus via its website.
Applications to the fund can be written or made by phone or online.
Applications for the Assist Fund are open on the Octopus website and there is no deadline for customers to apply.
What you can get depends on your circumstances and needs, and it also offers other help such as payment breaks, help clearing energy bill debt, standing charge holidays and even free electric blankets.
Greg Jackson, founder of Octopus Energy Group, said: “At times like this, we can’t expect the government to do everything – companies need to work hard on affordability too.”
Octo Assist Fund is encouraging all customers to get in contact if they’re struggling with their bills.
It comes as British Gas has reopened its £200 million Energy Trust’s Individual and Families Support Fund for the winter.
Their grant scheme, which closed on March 8, 2024, has reopened in time for indebted customers to get on top of their energy bills before the surge this winter.
Unlike Octopus and many other supplier grants, The British Gas scheme extends to both British Gas customers and non-customers.
However, there are certain requirements to be eligible for the fund.
Pre-payment meter customers must be within £50 and £1,700 of energy debt.
They must also live in England, Scotland or Wales, and have not received a grant from the British Gas Energy Trust within the last 2 years.
It is recommended that customers from companies with hardship funds first seek assistance from their own schemes.
To apply for the British Trust Fund, go to ‘Grants Available’ on their website.
Here the site asks for applications where the applicant can show a sustainable position moving forward.
If you are eligible, British Gas can offer:
- Free energy grants
- Energy advice for vulnerable households
- Tailored support for households and small business customers
- Funding for small businesses and charities
What other energy bill help is available?
Scottish Power
Scottish Power’s Hardship Fund has handed out more than £60 million to struggling customers.
Help is available if you receive from a long list of benefit schemes, including Income Related Employment and Support Allowance or Income Based Jobseeker’s allowance.
You may also be eligible if you are facing circumstances impacting your earnings, such as illness.
Read here to find out if you are eligible and how to apply.
Utilita
Utilita also offers grants to customers to help clear or minimise energy debt.
The scheme operates through Utilita Giving, which is the company’s charity partner.
Utilita Giving also partners with other charities such as IncomeMax, which helps customers make sure they are claiming what they are entitled to, and Let’s Talk, which provides replacement white goods.
To get in touch with Utilita and apply to the scheme, go to their website and provide the details of your current debts and finances.
EDF
EDF provides a customer support fund which helps those who are struggling to clear debt and replace essential white goods.
You can apply to the scheme through the Let’s Talk website, but must have taken independent debt advice before you can be considered.
E.ON
E.ON’s Next Energy Fund also provides grants and appliance replacement services to struggling customers.
To apply, you must submit proof of household income, and show that you’re committed to financial stability by submitting proof of regular payments across three months.
More information available on the provider’s website.
Utility Warehouse
Operated by Citizens Advice Plymouth, Utility warehouse offers payments of up to £140 to customers about to go in debt, or are currently indebted.
The team has helped 6,000 customers increase their combined disposable income in the last year by £9 million.
To find out whether you are eligible for financial assistance, visit their website.
Crucial to claim Pension Credit if you can
HUNDREDS of thousands of pensioners are missing out on Pension Credit.
The Sun’s Assistant Consumer Editor Lana Clements explains why it’s imperative to apply for the benefit..
Pension Credit is designed to top up the income of the UK’s poorest pensioners.
In itself the payment is a vital lifeline for older people with little income.
It will take weekly income up to to £218.15 if you’re single or joint income to £332.95.
Yet, an estimated 800,000 don’t claim this support. Not only are they missing on this cash, but far more extra support that is unlocked when claiming Pension Credit.
With the winter fuel payment – worth up to £300 now being restricted to pensioners claiming Pension Credit – it’s more important than ever to claim the benefit if you can.
Pension Credit also opens up help with housing costs, council tax or heating bills and even a free TV licence if you are 75 or older.
All this extra support can make a huge difference to the quality of life for a struggling pensioner.
It’s not difficult to apply for Pension Credit, you can do it up to four months before you reach state pension age through the government website or by calling 0800 99 1234.
You’ll just need your National Insurance number, as well as information about income, savings and investments.
What else can you do to reduce energy debt?
If you are a pensioner struggling this winter and can’t get help from the above funds, Energy Savings Trust has recommended a set of tips to save energy. They advise people to remember to:
- Switch off standby
- Opt for draught-proof windows and doors
- Turn off lights
- Reduce washing machine use
- Avoid the tumble dryer
- Spend less time in the shower
- Swap your bath for a shower
- Avoid overfilling the kettle
- Only use your dishwasher when it’s full
- Top up your insulation
And remember: despite the number of pensioners who qualify for Winter Fuel Payments having been slashed, help will still be available to those on Pension Credit or other means-tested benefits.
If not, you may still be eligible for the Household Support Fund which is available to thousands across England, or a cost of living fund to cover your bills.
To find out how to apply for the Household Support Fund, visit the website of your local council.
Do you have a money problem that needs sorting? Get in touch by emailing money-sm@news.co.uk.
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