When will I receive my £100 household energy payment? I asked an energy expert what we need to know about the Government’s energy bill payments

Around 20 million households in England will receive a £100 payment from the Government this winter to help with their energy bills, Chancellor John Healey confirmed, delivering the Autumn Budget.

The October price cap saw bills rise by £60 a year for millions of households, and consultants at Cornwall Insight have predicted a further 16% price increase in January 2027 compared to October of this year. This means energy bills could rise to £1,999 a year for a typical dual-fuel household in January 2027.

Unsurprisingly, many of us are looking to tighten our belts as a result, searching for ways to save energy and money at home. So, I asked an energy expert what exactly we can expect from the Household Energy Payment, who is eligible, and what difference it may have on our bills.

Who is eligible for the payment?

‘Eligibility depends on where you live. In England, the £100 payment is for eligible households responsible for council tax on their main home in bands A to D. The governments in Wales and Scotland have also confirmed a £100 payment for households in those bands. So, if you don’t know, checking what council tax band you are in is the best place to start,’ explains Gareth Kloet, expert at Go.Compare Energy.

‘In Northern Ireland, which uses domestic rates rather than council tax, funding has been allocated for similar support, but households should await confirmation of the Executive’s arrangements rather than assuming the same rules apply.’

To check which council tax band you are under, you can use the Government’s free postcode checker.

Gareth Kloet

Gareth Kloet has been involved in utilities since working for Welsh Water in 1994, then in the energy market since it’s deregulation in 1996 for gas and 1998 for electricity, making him Go.Compare's go-to for any energy and comparison know-how.  He’s worked for both new businesses and established energy companies, including Atlantic, Energylinx and now Go.Compare, in his current role as energy expert and Director of Partnerships. 

What impact is this payment expected to have on bills?

‘The £100 payment will be welcome support for eligible households at a time when energy costs remain a concern. But it’s important to note that this support is a one-off payment to help with paying your bill, rather than a reduction in the cost of energy. It can help offset some of your costs, but it won’t prevent your bills from rising if your energy use or the rates you pay increase,’ says Gareth.

How will households receive the payment?

‘In England, payments are expected to start from January 2027. Those who pay council tax by direct debit should receive the money automatically, while others will be invited to apply through their council,’ says Gareth.

'Wales and Scotland have also confirmed support, but households should check local guidance for payment details. Northern Ireland's arrangements are yet to be confirmed. Be wary of unexpected messages asking for bank details and always check with official sources first.'

How do recieve payment if you don’t pay council tax?

‘In England, some households exempt from council tax are still expected to qualify, although full eligibility details have not yet been published. However, people who are not responsible for council tax are not currently included under the guidance. Councils will also receive extra funding to support households that miss out on the payment. Those in Wales, Scotland and Northern Ireland should check local guidance, as different rules may apply,’ says Gareth.

How is the payment being funded?

‘It's government-funded support, not a discount provided by energy suppliers. The scheme is being funded through a temporary increase in the tax surcharge on bank profits and is expected to cost around £2.6 billion,’ says Gareth.

What else is the Government doing to keep energy costs down?

‘The Government has extended the temporary removal of VAT on domestic electricity bills in Great Britain until July 2027. There are also plans to remove gas standing charges from 2027, although those costs would be moved into unit rates rather than disappear altogether. That means lower-use households could benefit more than higher users. In Northern Ireland, eligible customers already receive support through the Household Electricity Discount Scheme, which is separate from the new £100 payment,’ says Gareth.

What should we be doing to keep costs down?

‘Ultimately, one of the best things you can do to keep your energy costs down is regularly review your tariff and check whether switching could save you money. Even small differences between deals can add up to meaningful savings over time,’ says Gareth.

If you haven’t already fixed your tariff, it can be a good idea to fix now, considering energy bills are expected to increase.

If you are struggling to pay your bills, you should reach out to your energy supplier to see what support you’re entitled to.