UK Parliament / Open data

Constituency casework: Government support for energy bills

Commons Briefing paper by Becky Mawhood, Hazel Armstrong and Jennifer Brown. It was first published on Thursday, 24 November 2022. It was last updated on Monday, 20 March 2023.

This briefing covers the universal energy bill support schemes introduced by the Government in 2022 and 2023 to help households and businesses with rising energy prices, as part of its wider support with the rising cost of living. It provides a guide to relevant sources that answer frequent questions on the schemes.

Where complex issues are raised it may be more appropriate to refer constituents to specialist bodies and organisations or to a solicitor if legal advice is sought. 

The Library briefing Help with energy bills (March 2019) provides information on pre-existing, targeted support schemes for households such as the Winter Fuel Payments, Cold Weather Payments and Warm Home Discount.

The support schemes covered

This briefing covers the support schemes listed below. Constituents may be eligible for multiple schemes, depending on their circumstances. The “quick guide” tables at the bottom of this landing page provide a reference to help identify which schemes are relevant to any given constituent.

  • Energy Price Guarantee (EPG): a discount on domestic electricity and gas prices over the period 1 October 2022 to 31 March 2024
  • Energy Bills Support Scheme (EBSS), including the EBSS Alternative Fund: a one-off £400 payment to households to help with bills over winter 2022-23
  • Energy Bills Discount Scheme (EBDS): a discount on non-domestic electricity and gas prices over the period 1 April 2023 to 31 March 2024
  • Energy Bill Relief Scheme (EBRS), including the EBRS for non-standard customers: a discount on non-domestic electricity and gas prices over the period 1 October 2022 to 31 March 2023
  • Alternative Fuel Payments (AFP), including the AFP Alternative Fund and the Non-Domestic AFP: a one-off payment for households (£200) and non-domestic customers (at least £150) who are not on the mains gas grid and use an alternative fuel (such as heating oil) for heating.
  • Pass-through requirements for the EBSS, EPG, EBRS and AFP, including specific pass-through requirements for heat networks: these require third party intermediaries to pass on benefits to end users

The Energy Prices Act 2022 created powers to set up, or deliver aspects of, each of these schemes. For more information see the Library briefing on the Energy Prices Bill 2022-23.

Key resources

The guidance documents referred to in this briefing are current at the time of writing. However, information on the new schemes is being updated frequently, so it is advisable to check the relevant websites, particularly the Department for Energy Security and Net Zero (DESNZ), for updates.

Further reading

The Government’s Help for Households website has advice on actions that households can take to cut their energy use and save money this winter. Its webpage on Help with your energy bills has links to various cost of living and energy bill support schemes.

The following Library briefings provide more information on energy bills and wider support available to help constituents with these:

Quick guide: which schemes are relevant to my constituent?

The tables below provide a reference to help you identify which of the support schemes covered by this briefing are likely to be relevant for any given household (Table 2) or non-domestic constituent (including businesses, charities and public sector organisations) (Table 3).  

The key to scheme abbreviations (Table 1) gives directions to the relevant sections of this briefing for each scheme.

Table 1 Key to scheme abbreviations

Abbreviation Name of scheme Where to find information in this briefing
AFP Alternative Fuel Payments Section 6
AFP AF Alternative Fuel Payments Alternative Fund Section 6.1
AFP (PTR) Alternative Fuel Payments (pass through requirements) Sections 6 and 7
EBDS Energy Bill Discount Scheme Section 4
EBRS Energy Bill Relief Scheme Section 5
EBRS (PTR) Energy Bill Relief Scheme (pass through requirements) Sections 5 and 7
EBRS NSC Energy Bill Relief Scheme for non-standard customers Section 5.3
EBSS Energy Bills Support Scheme Section 3
EBSS (PTR) Energy Bills Support Scheme (pass through requirements) Sections 3 and 7
EBSS AF Energy Bills Support Scheme Alternative Funding Section 3.2
EPG Energy Price Guarantee Section 2
EPG (PTR) Energy Price Guarantee (pass through requirements) Sections 2 and 7
ND AFP Non-domestic Alternative Fuel Payments Section 6
ND AFP (PTR) Non-domestic Alternative Fuel Payments (pass through requirements) Sections 6 and 7

 

Table 2 Support schemes for households: to identify all schemes that may be relevant for your constituent, please review all of questions 1-4

 Question Answer Relevant schemes
1. Does the constituent live in Northern Ireland? Yes EBSS
AFP
See also Qs 2-4
No n/a
See Qs 2-4
2. How does the constituent pay for their electricity? They pay a licensed energy suppliera directly, and they have a domestic electricity supply contract EBSS
EPG
They pay a licensed energy suppliera directly, but they have a non-domestic electricity supply contract. (This may be the case for constituents who share one electricity supply for their home and their business.) EBSS AF
EBRS (until 31/3/2023)
EBDS (from 1/4/2023)
They pay a third party intermediary (e.g. a landlord) and the intermediary has a domestic electricity supply contract. EBSS (PTR)
EPG (PTR)
They pay a third party intermediary (e.g. a landlord, park site owner, university halls of residence, or 'private wire' electricity network) and the intermediary has a non-domestic electricity supply contract. EBSS AF
EBRS (PTR) (until 31/3/2023
Consultation on further support expected summer 2023b
They do not have an electricity supply linked to the national electricity grid. (Some constituents may be off the electricity grid, e.g. those living on canal boats or in very remote areas.) EBSS AF
3. Does the constituent have a mains gas supply, and if so, how do they pay for it? Yes, and they pay a licensed energy suppliera directly for a domestic gas supply contract EPG
Yes, and they pay a licensed energy suppliera directly, but they have a non-domestic gas supply contract. (This may be the case for constituents who share one gas supply for their home and their business.) EBRS (until 31/3/2023)
EBDS (from 1/4/ 2023)
Yes, and they pay a third party intermediary (e.g. a landlord) and the intermediary has a domestic gas supply contract. EPG (PTR)
Yes, and they pay a third party intermediary (e.g. a landlord, park site owner, university halls of residence, or communal network) and the intermediary has a non-domestic gas supply contract. EBRS (PTR) (until 31/3/2023)
Consultation on further support expected summer 2023b
No, they do not have a mains gas connection. n/a
4. What is the main way that the constituent heats their home? Electricity (e.g. with electric heaters or a heat pump) See Q2
Mains gas (e.g. with a gas boiler) See Q3
Heat network, where this is fuelled by electricity or gas EBRS (PTR) (until 31/3/2023)b
New support will be introducedc
Heat network, where this is fuelled by an "alternative fuel" eg: heating oil (kerosene) or biomass (wood-based fuels such as wood pellets) ND AFP (PTR)
An "alternative fuel", where they purchase this from the fuel supplier directly. Alternative fuels include: heating oil (kerosene), liquified petroleum gas (LPG), coal, biomass (wood-fuel or biogas). AFP (if they have a domestic electricity supply contract)
AFP AF (if they do not)
An "alternative fuel", where they purchase this from an intermediary (e.g. landlord). Alternative fuels include: heating oil (kerosene), liquified petrolum gas (LPG), coal, biomass (wood-fuel or biogas). AFP (PTR) or ND AFP (PTR) depending on the support received by the intermediary
Notes:   
a. A licensed energy supplier is an electricity or gas supplier which holds a licence from Ofgem to supply domestic or non-domestic customers, or both. This includes well-known retail energy companies such as the “big five” energy companies (British Gas, EDF, E.ON, Scottish Power, Ovo), as well as smaller energy suppliers such as Octopus Energy and Boost Energy. Third party intermediaries (for example, a park site owner, a landlord or a heat network) are not usually licensed energy suppliers. Instead these intermediaries usually buy energy from a licensed supplier, and then sell it on to the end users.
b. In the 2023 Spring Budget, the Government announced it is developing new support for households on a non-domestic meter where they face lower levels of support than other domestic consumers. It announced DESNZ will issue a call for evidence on this before the summer.
c. In the 2023 Spring Budget, the Government announced heat network customers on non-domestic heating contracts will receive a new, sector specific support rate to ensure they do not face disproportionately higher energy bills than consumers under the EPG. It has yet to announce further details.

 

Table 3 Support schemes for non-domestic customers (including businesses, charities and public sector organisations): to identify all schemes that may be relevant for your constituent, please review both questions 5 and 6

Question Answer Relevant schemes
5. How does the constituent pay for their electricity and/or gas? They pay a licensed energy suppliera, and they have a non-domestic electricity/gas supply contract EBRS (until 31/3/2023)
EBDS (from 1/4/ 2023)
They pay a licensed energy suppliera, but they have a domestic  electricity/gas supply contract. (This may be the case for some microbusinesses.) EBSS
EPG
They pay a third party intermediary (e.g. a landlord, heat network, or 'private wire' electricity network) and the intermediary has a non-domestic electricity/gas supply contract. EBRS (PTR) (until 31/3/2023)
They take their energy from the public electricity/gas grid, but they pay an unlicensed provider or they participate in the wholesale market directly EBRS NSC (until 31/3/2023)
EBDS (from 1/4/ 2023)
6. What is the main way that the constituent heats their property? Electricity (e.g. with electric heaters or a heat pump) See Q5
Mains gas (e.g. with a gas boiler or a combined heat and power (CHP) plant) See Q5
Heat network, where the heat network is fuelled by electricity or gas EBRS (PTR) (until 31/3/2023)
Heat network, where the heat network is fuelled by an "alternative fuel", for example: heating oil (kerosene) or biomass (wood-fuel or biogas) ND AFP (PTR)
An "alternative fuel", where they purchase this from the fuel supplier directly. Alternative fuels include: heating oil (kerosene), liquified petroleum gas (LPG), coal, biomass (wood-fuel or biogas). ND AFP
  An "alternative fuel", where they purchase this from an intermediary (e.g. landlord). Alternative fuels include: heating oil (kerosene), liquified petroleum gas (LPG), coal, biomass (wood-fuel or biogas). ND AFP (PTR)
Notes:   
a. A licensed energy supplier is an electricity or gas supplier which holds a licence from Ofgem to supply domestic or non-domestic customers, or both. This includes well-known retail energy companies such as the “big five” energy companies (British Gas, EDF, E.ON, Scottish Power, Ovo), as well as smaller energy suppliers such as Octopus Energy and Boost Energy. Third party intermediaries (for example, a park site owner, a landlord or a heat network) are not usually licensed energy suppliers. Instead these intermediaries usually buy energy from a licensed supplier, and then sell it on to the end users.
Type
Research briefing
Reference
CBP-9685 
Energy Prices Act 2022
Tuesday, 25 October 2022
Public acts
Energy support for farms
Monday, 20 March 2023
Research briefings
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