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Home » Millions more families to save £150 on energy bills – how it will work
Money

Millions more families to save £150 on energy bills – how it will work

By staff18 June 2025No Comments3 Mins Read

Keir Starmer has announced an extra 2.7million households will get Warm Home Discounts – saying public finances are in a better state than they were a year ago

Keir Starmer said the extra cash will make a huge difference to struggling families
Keir Starmer said the extra cash will make a huge difference to struggling families(Image: Getty Images)

An extra 2.7million households will get £150 off their energy bills next winter, Keir Starmer has announced.

The Government will expand the Warm Home Discount in a cost of living boost to struggling families.

It will affect those who receive means-tested benefits, including 1.8million households in fuel poverty and 900,000 with children.

Labour says it is able to roll out the change because public finances are in a better position than they were last year.

The Prime Minister said: “I know families are still struggling with the cost of living, and I know the fear that comes with not being able to afford your next bill.

“Providing security and peace of mind for working people is deeply personal to me as Prime Minister and foundational for the Plan for Change.

“I have no doubt that, like rolling out free school meals, breakfast clubs and childcare support, extending this £150 energy bills support to millions more families will make a real difference.”

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The Government said that the expansion of the Warm Home Discount will be offset by new efficiency savings across the energy system.

It said regulator Ofgem’s confirmed decrease in the operating allowance of the price cap for most billpayers will take money off bills.

And its plan to reduce the overall stock of consumer debt – which is currently paid for as a levy on all bills, will also create savings.

Energy Secretary Ed Miliband said: “Millions of families will get vital support with the cost of living this coming winter, demonstrating this government’s commitment to put money in people’s pockets through our Plan for Change.”

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The number of families who will receive the discount for the first time, broken down by region, include:

  • North East England: 100,000
  • North West England: 280,000
  • Yorkshire and the Humber: 210,000
  • East Midlands: 160,000
  • West Midlands: 270,000
  • East of England: 250,000
  • London: 570,000
  • South East England: 350,000
  • South West England: 220,000
  • Wales: 110,000
  • Scotland: 240,000

READ MORE: Join our Mirror politics WhatsApp group to get the latest updates from Westminster

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