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Warm Home Discount 2026/27

£150 off your electricity bill this winter — and for 2026/27 the rules were relaxed to bring in around 2.7 million more households. The qualifying date is 23 August 2026, and what your account looks like on that single day decides everything.

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A bright, simply furnished living room with a sofa, plant and floor lamp — the kind of home the £150 Warm Home Discount helps to heat

🆕What's Changed for 2026/27

£150
Off your electricity bill
One-off, winter 2026/27
23 Aug
Qualifying date
Your circumstances that day
+2.7m
More households eligible
After the rule change

The Warm Home Discount is a £150 one-off credit applied to your electricity bill over the winter. It has existed for years, but the version running this winter is meaningfully bigger than the one before it — and a lot of people who were turned down last year now qualify without having to do anything differently.

The change is technical but it matters. Under the old rules, households in Core Group 2 had to be on a qualifying benefit and live in a property the government modelled as expensive to heat — a test based on property age, type and floor area. Plenty of low-income households on means-tested benefits failed that second test purely because of the house they happened to live in.

For 2026/27 that property test has been removed. If you're in England or Wales and receiving a qualifying means-tested benefit, you now qualify regardless of your home's energy profile. The government estimates this brings in around 2.7 million additional households.

If you were rejected last year, check again

The single most common reason for a rejection under the old scheme was failing the property-cost test, not the benefits test. That test is gone. If you were on a means-tested benefit and were told you didn't qualify in a previous year, there is a good chance you qualify now — and in England and Wales you don't need to reapply for the system to notice.

📅The 23 August 2026 Qualifying Date

Every Warm Home Discount scheme year hangs on a single qualifying date, and for 2026/27 that date is 23 August 2026. It works like a photograph: the DWP looks at your circumstances on that one day and nothing else.

Two things are captured in that snapshot:

  • Which benefits you were receiving — this determines whether you qualify at all.
  • Which energy supplier held your account — this determines who is on the hook for paying you.

The practical consequences follow from that. Starting a qualifying benefit claim after 23 August doesn't get you into this year's scheme, though it will count for next year. Equally, a change in circumstances after the date — coming off a benefit, moving house, changing supplier — doesn't take the £150 away from you. Once you're captured in the snapshot, you're in.

If you think you might be entitled to Pension Credit or another qualifying benefit and haven't claimed, this is the deadline that should focus the mind. Pension Credit claims can be backdated by up to three months, which in some cases can pull you back over the qualifying date — worth asking about directly rather than assuming either way.

Who Qualifies for the £150

Eligibility splits into groups, and which one you fall into decides whether the money arrives automatically or whether you have to go and ask for it.

Core Group 1 — Pension Credit
England, Wales and Scotland · Automatic

If you were receiving the Guarantee Credit element of Pension Credit on 23 August 2026, you qualify. This is the most straightforward route: no application, no property test, and it applies across all three nations. If you receive only the Savings Credit element of Pension Credit, you fall under Core Group 2 instead — a distinction that catches people out every year.

Core Group 2 — Means-tested benefits
England and Wales only · Automatic

Universal Credit, Income Support, income-based Jobseeker's Allowance, income-related Employment and Support Allowance, Housing Benefit, Child Tax Credit, Working Tax Credit, or Pension Credit Savings Credit. This is the group that just got much larger: the requirement to also live in a high-cost-to-heat property has been dropped for 2026/27, so the benefit alone is now enough.

Scottish Broader Group
Scotland only · You must apply

Scotland doesn't run an automatic Core Group 2. Instead, suppliers operate their own Broader Group schemes with their own criteria, usually covering low-income households with children under five, a disability, or a long-term health condition. Funding is capped and allocated first come, first served, so applications typically open in autumn and can close within weeks. If you're in Scotland and not on Pension Credit Guarantee Credit, apply the moment your supplier's scheme opens.

Two conditions apply on top of the group rules. The energy account normally has to be in your name or your partner's name, and the discount applies to a domestic electricity account — which is why it is described as coming off your electricity bill even for dual-fuel customers. If you're a renter with bills included in your rent, there's no energy account in your name for the DWP to match against, and the discount generally can't be paid.

📮How to Get It — and When You Need to Act

For most people the honest answer is: do nothing. In England and Wales the DWP cross-matches its benefit records against energy supplier account data, works out who qualifies, and instructs the supplier to apply the credit. There is no form.

The parts that do need attention:

  • Check the name on your energy account. The match is made against the benefit claimant's name. If the account is in a partner's or former partner's name and the benefit isn't, the match can fail silently.
  • Make sure your supplier has your correct address and account details — a recent house move is the other common reason a match doesn't land.
  • In Scotland, apply. Broader Group funding is finite and goes first come, first served. Diarise your supplier's scheme opening rather than waiting to be contacted.
  • Open the letter. If the DWP can't confirm your details automatically it writes asking you to call a helpline by a stated deadline — miss it and the discount is lost even though you qualified.

Beware the scam season

Warm Home Discount texts and emails asking you to "claim your £150" via a link and enter bank details are a recurring autumn scam. The genuine process for England and Wales does not ask you to apply online, and it never asks for your bank details — the money comes off your energy bill, it isn't paid into an account. If you get a message like that, ignore the link and contact your supplier directly.

🗓️When You'll Actually Be Paid

23 Aug 2026
Qualifying date — your benefits and energy supplier on this day decide eligibility
October 2026
Scheme opens for the 2026/27 winter; Scottish Broader Group applications typically open around now
20 Oct–31 Dec 2026
DWP letters go out to eligible households in England and Wales confirming the discount
Nov 2026 onwards
The £150 starts being applied to electricity accounts — most households see it before January
31 Mar 2027
Final deadline for the discount to be applied. If nothing has arrived by now, chase it

The gap between qualifying in August and being paid in November or later is deliberate — it takes months to reconcile DWP benefit data against millions of energy accounts. It does mean the £150 usually arrives after the coldest part of your first winter bill, so it's best thought of as a credit that softens the January statement rather than money you can spend on heating in October.

If you pay by direct debit, the credit reduces your account balance rather than your monthly payment, so you may not notice it unless you look. It's worth checking your account in December and asking your supplier to review your monthly amount once the credit lands — otherwise you can end up building a balance you've already been given.

🔄Does Switching Supplier Cost You the £150?

Short answer: no.

The supplier you are with on 23 August 2026 carries the obligation, and leaving them doesn't cancel it. Switch after that date and your old supplier still owes you the £150 — they credit your final bill or send it on. Switch and complete before the qualifying date and your new supplier picks it up instead. Either way the money is yours.

The one case that genuinely needs care is a switch still in progress across 23 August. Supplier records can lag the actual transfer by a couple of weeks, so it isn't always obvious which account the DWP matched you to. It doesn't make you ineligible — but if a letter hasn't appeared by the end of December, call both the old and the new supplier rather than just one.

This matters because the fear of losing the discount keeps a lot of households sitting on expensive default tariffs all winter. That's an expensive way to protect £150. The Warm Home Discount is a government scheme that every large supplier is obliged to deliver — it is not a loyalty perk, and it follows you.

The arithmetic tends to be one-sided. Staying on an expensive default tariff through a winter quarter can cost more than the discount is worth, while switching to a supplier with a cheaper standard variable rate keeps the £150 intact and adds the £50 referral credit on top.

🧩Other Help You Can Stack on Top

The Warm Home Discount doesn't rule out anything else. These are separate schemes with separate eligibility, and receiving one has no effect on the others:

Support
What it's worth
Who gets it
Warm Home Discount
£150
Pension Credit Guarantee Credit, or means-tested benefits in England & Wales
Winter Fuel Payment
Varies by age & household
Older households — separate rules, paid automatically to most who qualify
Cold Weather Payment
£25 per qualifying week
Certain benefit claimants, triggered when local temperatures stay at or below 0°C for 7 days
0% VAT on electricity
Around £45 gross, ~£20 net
Every household, automatically, from 1 October 2026 to 31 March 2027
Octopus £50 referral credit
£50
Anyone switching to Octopus via a referral link

Beyond the schemes above, most large suppliers run hardship funds that can clear energy debt for customers in genuine difficulty, and both Octopus and others offer free energy-saving kit and home visits to vulnerable customers. Registering on the Priority Services Register costs nothing, isn't means-tested, and gets you advance notice of power cuts, priority reconnection and meter reading help — worth doing regardless of whether you qualify for anything else.

The one piece of help arriving for everyone this winter is the cut in VAT on electricity to 0% from 1 October, which needs no application at all — though it lands on the same day as the new price cap, which takes a good chunk of it straight back.

Verdict — Check Before 23 August, Then Forget About It

Verdict: The work is all front-loaded — and there isn't much of it.

The £150 Warm Home Discount for winter 2026/27 turns on your circumstances on 23 August 2026. In England and Wales it's automatic, the property-cost test has been scrapped, and around 2.7 million more households now qualify — so if you were rejected before, check again. In Scotland, Broader Group funding runs out, so apply as soon as your supplier opens. The money arrives as bill credit between November and 31 March. And switching supplier doesn't cost you it, whichever side of the qualifying date you move.

Since the discount follows you regardless, the supplier underneath it is a free choice — and that's where the bigger money is. Octopus Energy is the UK's largest supplier with 7.3 million households, has been Which? Recommended for 9 consecutive years, holds a 4.8/5 Trustpilot rating from 800,000+ reviews and charges no exit fees on any tariff. Switch via our referral link and £50 free credit lands on top of your Warm Home Discount. Compare every Octopus tariff to see which suits your winter usage.

Got questions?

Warm Home Discount FAQ

It's a one-off £150 discount applied to your electricity bill for winter 2026/27. It's a credit against what you owe rather than a cash payment, so for most households it simply appears as £150 knocked off the account somewhere between November 2026 and 31 March 2027. The amount has been £150 since the 2023/24 scheme year.

Ready to save £50 on your energy?

The Warm Home Discount follows you whichever supplier you're with, so switching doesn't put it at risk. Move to Octopus Energy via our referral link and £50 free credit lands on top — it takes less than 5 minutes and there are no exit fees.

Switch to Octopus — Get £50 Credit

Takes you to share.octopus.energy — the official Octopus Energy site