£5 billion in support for energy bills paid this winter

An estimated £5 billion in support has been paid throughout winter to help families with energy costs.

From: Department for Work and Pensions

Halving inflation has ensured everyone's money goes further, however, we remain committed to supporting households across the country with 11.8 million pensioners receiving up to £600 in Winter Fuel Payments and Pensioner Cost of Living Payments.

On top of this, the Department for Work and Pensions (DWP) has today estimated over 1.1 million Cold Weather Payments worth £29.6 million were paid out from November until the end of March – with over £9 million of this going to low-income pensioners receiving Pension Credit.    

Further support was also made available through the Warm Home Discount – to support three million households at risk of fuel poverty, allowing families to keep costs down and more money in their pockets. The Government expects partnered energy suppliers to have spent around £550 million this winter across Great Britain, through direct bill rebates as well other financial and energy efficiency support. 

This support was needed to protect everyday Brits from the inflationary impact of Putin's illegal war in Ukraine – helping millions of people get through the winter. Now – with energy bills dropping, wages rising, and taxes being slashed – people are set to have more cash in their pocket to help fire up the economy and beckon in more growth.   

We have turned a corner after the shocks of the past few years, and we are in a new economic moment and 2024 will prove to be the year that the economy bounces back.  

Minister for Pensions, Paul Maynard said:   

This Government's actions have provided vital support to pensioners most in need.

Halving inflation has helped everyone's finances, and we remain committed to protecting our older loved ones across the country, with 11.8 million pensioners receiving up to £600 in Winter Fuel and Pensioner Cost of Living Payments. 

And we are uprating the State Pension further from next week, meaning the full yearly basic State Pension will be £3,700 higher than in 2010, whilst the full rate of the New State Pension will rise above £11,500 a year.

From this week people will start to see an increase in their Local Housing Allowance rates – benefitting some of the poorest families on either Universal Credit or Housing Benefit who will gain around £800 a year on average. This puts more money in the pockets of the lowest earners – giving them more spending power to boost their local economy.  

The Government is delivering £108 billion of support over 2022-2025 – worth an average £3,800 per household – and will continue to drive down inflation to help everyone's money go further.    

These measures are boosted in April with Universal Credit and other benefits rising in line with inflation by 6.7 percent, and the State Pension increasing by an inflation-busting 8.5 percent – making sure that targeted support is going to those who need it most.  

Additional Information

• DWP's Cold Weather Payments are an automatic bank top-up of £25, paid to eligible households when the average temperature has been recorded as, or is forecast to be, zero degrees Celsius or below for seven consecutive days at the weather station linked to an eligible person's postcode 

• Cold Weather Payments are paid directly into people's bank accounts between November and March. 

• Cold Weather Payments are targeted at those in receipt of eligible benefits with a pension element or disability component, or where there is a child under five in the household. 

• Cold Weather Payments are paid in England and Wales, as this is now a devolved matter in Scotland.  

The qualifying income-related benefits to receive Cold Weather Payments include:  

• Retired people in receipt of Pension Credit. 

• People unable to work, in receipt of income-related Employment and Support Allowance that includes a work-related activity or support component.  

• People in receipt of Income Support, income-related Employment and Support Allowance in the assessment phase, or income-based Jobseeker's Allowance, and who have a pensioner or disability premium or receive the additional element paid with Child Tax Credit where there is a disabled child in the family, or a have child under the age of five, also receive payments.  

• People in receipt of Universal Credit if they, or their partner, are not employed or self-employed and one of the following apply: they have a health condition or disability and have limited capability for work (with or without work-related activity); they have a child under 5 living with them.  

• People in receipt of Universal Credit which includes a disabled child amount, whether they are employed or not.  

• People in receipt of a Support for Mortgage Interest Loan will also usually be eligible.