The energy crisis

Can't help thinking that the thread title is now a misnomer.

Originally Posted by Maggy

Can't help thinking that the thread title is now a misnomer.

As if by magic …

---------- Post added at 12:44 ---------- Previous post was at 12:43 ----------

So Rishi is out splashing the cash. Headlines so far are a windfall tax on oil and gas producers will pay for a £650 grant to less well off households, and a £400 fuel bill rebate for everyone - this £400 is instead of the £200 loan previously announced.

---------- Post added at 12:50 ---------- Previous post was at 12:44 ----------

… plus a one-off Disability living allowance uplift of £150

---------- Post added at 12:51 ---------- Previous post was at 12:50 ----------

So it looks like everyone gets £400, less well off people get £1,150, and if you’re less well off and on DLA you get £1,300, which I think might be more-or-less the entire spike in the energy price cap compared to where it would typically be.

BREAKING: UK unveils £15 billion support package for consumers as inflation soars, partly funded by windfall tax on energy sector - AFP News Agency

[Jaymoss]

Well for some it will totally offset the increase in October so that is great and the poorest are being looked after.

There is a £150 disability cost of living payment

I should get that but tbh I hope I do not get the £650 as I can live without it and would want it to go to someone worse off

Originally Posted by Chris

plus a one-off Disability living allowance uplift of £150

Did they specifically call it that? cuz DLA does not exist any more?

[TimeLord2018]

It's called the Disability Cost of Living Payment
https://www.gov.uk/government/public...et-26-may-2022

Originally Posted by Jaymoss

Did they specifically call it that? cuz DLA does not exist any more?

I’m just being old fashioned and out of touch.

[1andrew1]

It's a shame it took the Sue Gray Report to make the government act on the energy crisis, but I'm pleased they have done so.

[mrmistoffelees]

Originally Posted by Chris

As if by magic …

---------- Post added at 12:44 ---------- Previous post was at 12:43 ----------

So Rishi is out splashing the cash. Headlines so far are a windfall tax on oil and gas producers will pay for a £650 grant to less well off households, and a £400 fuel bill rebate for everyone - this £400 is instead of the £200 loan previously announced.

---------- Post added at 12:50 ---------- Previous post was at 12:44 ----------

… plus a one-off Disability living allowance uplift of £150

---------- Post added at 12:51 ---------- Previous post was at 12:50 ----------

So it looks like everyone gets £400, less well off people get £1,150, and if you’re less well off and on DLA you get £1,300, which I think might be more-or-less the entire spike in the energy price cap compared to where it would typically be.

It's a step, and this is going to sound like whining, but i can't help but think that not everyone needs the £400 rebate, I'd rather those earning say over 100k per year were given no rebate whatsoever, the money that they would of received could be given to help others, more.

Originally Posted by mrmistoffelees

It's a step, and this is going to sound like whining, but i can't help but think that not everyone needs the £400 rebate, I'd rather those earning say over 100k per year were given no rebate whatsoever, the money that they would of received could be given to help others, more.

True, however in an emergency there’s no time to develop means testing procedures, which would come with a cost of their own also. I think the £400 off the bill will also go some way towards helping those who may be property rich but cash poor (i.e. they have a large house, too high up the council tax band to get the larger grant, but the value of the house doesn't accurately reflect their income). The price shock is also so large that even relatively well off people may have short-term problems budgeting around it. The last thing he will want a year or two down the line is rising mortgage defaults and repossessions.

He seems to have been pretty careful to lump most of it into mechanisms which have at least some connection to likely need.

[Jaymoss]

My issue with the £400 is idiots will pull it from their accounts and spend it and then complain they can not pay their bills. I wonder how many have spent the £150 council tax rebate instead of applying it to their energy accounts (talking about those on low income here). I would like to see it none withdrawable

One thing I can not see them say anything about is the Warm Home Discount. I wonder if that will still be available on top of the £400

[pip08456]

Who gets what?

Energy Bills Support Scheme doubled to a one-off £400:

Households will get £400 of support with their energy bills through an expansion of the Energy Bills Support Scheme.
As well as doubling the £200 of support announced earlier this year, the full £400 payment will now be made as a grant, which will not be recovered through higher bills in future years.
Energy suppliers will deliver this support to households with a domestic electricity meter over six months from October. Direct debit and credit customers will have the money credited to their account, while customers with pre-payment meters will have the money applied to their meter or paid via a voucher.
This support will apply directly for households in England, Scotland, and Wales. It is GB-wide and we will deliver equivalent support to people in Northern Ireland.

£650 one-off Cost of Living Payment for those on means tested benefits:

More than 8 million households on means tested benefits will receive a payment of £650 this year, made in two instalments. This includes all households receiving the following benefits:Universal Credit
Income-based Jobseekers Allowance
Income-related Employment and Support Allowance
Income Support
Working Tax Credit
Child Tax Credit
Pension Credit
DWP will make the payment in two lump sums – the first from July, the second in the autumn. Payments from HMRC for those on tax credits only will follow shortly after each to avoid duplicate payments.

One-off £300 Pensioner Cost of Living Payment

Pensioners are disproportionately impacted by higher energy costs, and many low-income pensioner households do not claim the means tested benefits they are entitled to.
So pensioner households will receive an extra £300 this year to help them cover the rising cost of energy this winter.
This additional one-off payment will go to the over 8 million pensioner households across the UK who receive the Winter Fuel Payment and will be paid on top of any other one-off support a pensioner household is entitled to, for example where they are on pension credit or receive disability benefits. Eligible households currently receive between £200 - £300, so the payment will represent at least double the support for this winter.
The Winter Fuel Payment (including the extra Pensioner Cost of Living Payment) is not taxable and does not affect eligibility for other benefits.
All pensioner households will get the one-off Pensioner Cost of Living Payment as a top-up to their annual Winter Fuel Payment in November/December. For most pensioner households, this will be paid by direct debit.
People will be eligible for this payment if they are over State Pension age (aged 66 or above) between 19 – 25 September 2022. There are certain circumstances where an individual above State Pension age does not qualify for the Winter Fuel Payment which can be found here on gov.uk [https://www.gov.uk/winter-fuel-payment/eligibility]

£150 Disability Cost of Living Payment

Around six million people across the UK who receive the following disability benefits will receive a one-off payment of £150 in September:
Disability Living Allowance
Personal Independence Payment
Attendance Allowance
Scottish Disability Benefits
Armed Forces Independence Payment
Constant Attendance Allowance
War Pension Mobility Supplement
For the many disability benefit recipients who receive means tested benefits, this £150 will come on top of the £650 they will receive separately.

£500m increase and extension of Household Support Fund

To support people who need additional help, the Government is providing an extra £500 million of local support, via the Household Support Fund, which will be extended from this October to March 2023.
The Household Support Fund helps those in most need with payments towards the rising cost of food, energy, and water bills.
The government will issue additional guidance to Local Authorities to ensure support is targeted towards those most in need of support, including those not eligible for the Cost of Living Payments set out on 26 May 2022

[mrmistoffelees]

Originally Posted by Chris

True, however in an emergency there’s no time to develop means testing procedures, which would come with a cost of their own also. I think the £400 off the bill will also go some way towards helping those who may be property rich but cash poor (i.e. they have a large house, too high up the council tax band to get the larger grant, but the value of the house doesn't accurately reflect their income). The price shock is also so large that even relatively well off people may have short-term problems budgeting around it. The last thing he will want a year or two down the line is rising mortgage defaults and repossessions.

He seems to have been pretty careful to lump most of it into mechanisms which have at least some connection to likely need.

Fair comment, BUT I think emergency could be seen by some however to be stretching it a bit......there's been considerable time to review the possibilities. I'm over simplifying, but HMRC could just say right, here's a list of everyone earning over 100k per year... right then, no dosh for you...

---------- Post added at 13:32 ---------- Previous post was at 13:26 ----------

Originally Posted by pip08456

Who gets what?

Energy Bills Support Scheme doubled to a one-off £400:

Households will get £400 of support with their energy bills through an expansion of the Energy Bills Support Scheme.
As well as doubling the £200 of support announced earlier this year, the full £400 payment will now be made as a grant, which will not be recovered through higher bills in future years.
Energy suppliers will deliver this support to households with a domestic electricity meter over six months from October. Direct debit and credit customers will have the money credited to their account, while customers with pre-payment meters will have the money applied to their meter or paid via a voucher.
This support will apply directly for households in England, Scotland, and Wales. It is GB-wide and we will deliver equivalent support to people in Northern Ireland.

£650 one-off Cost of Living Payment for those on means tested benefits:

More than 8 million households on means tested benefits will receive a payment of £650 this year, made in two instalments. This includes all households receiving the following benefits:Universal Credit
Income-based Jobseekers Allowance
Income-related Employment and Support Allowance
Income Support
Working Tax Credit
Child Tax Credit
Pension Credit
DWP will make the payment in two lump sums – the first from July, the second in the autumn. Payments from HMRC for those on tax credits only will follow shortly after each to avoid duplicate payments.

One-off £300 Pensioner Cost of Living Payment

Pensioners are disproportionately impacted by higher energy costs, and many low-income pensioner households do not claim the means tested benefits they are entitled to.
So pensioner households will receive an extra £300 this year to help them cover the rising cost of energy this winter.
This additional one-off payment will go to the over 8 million pensioner households across the UK who receive the Winter Fuel Payment and will be paid on top of any other one-off support a pensioner household is entitled to, for example where they are on pension credit or receive disability benefits. Eligible households currently receive between £200 - £300, so the payment will represent at least double the support for this winter.
The Winter Fuel Payment (including the extra Pensioner Cost of Living Payment) is not taxable and does not affect eligibility for other benefits.
All pensioner households will get the one-off Pensioner Cost of Living Payment as a top-up to their annual Winter Fuel Payment in November/December. For most pensioner households, this will be paid by direct debit.
People will be eligible for this payment if they are over State Pension age (aged 66 or above) between 19 – 25 September 2022. There are certain circumstances where an individual above State Pension age does not qualify for the Winter Fuel Payment which can be found here on gov.uk [https://www.gov.uk/winter-fuel-payment/eligibility]

£150 Disability Cost of Living Payment

Around six million people across the UK who receive the following disability benefits will receive a one-off payment of £150 in September:
Disability Living Allowance
Personal Independence Payment
Attendance Allowance
Scottish Disability Benefits
Armed Forces Independence Payment
Constant Attendance Allowance
War Pension Mobility Supplement
For the many disability benefit recipients who receive means tested benefits, this £150 will come on top of the £650 they will receive separately.

£500m increase and extension of Household Support Fund

To support people who need additional help, the Government is providing an extra £500 million of local support, via the Household Support Fund, which will be extended from this October to March 2023.
The Household Support Fund helps those in most need with payments towards the rising cost of food, energy, and water bills.
The government will issue additional guidance to Local Authorities to ensure support is targeted towards those most in need of support, including those not eligible for the Cost of Living Payments set out on 26 May 2022

Thanks for the detailed info.

The one thing i can spot there is that the £400 in monetary value is equal to all, how far it will go dependant on fixed price vs variable vs pre pay.

Would be interesting to what % of those on prepay also receive additional support.

most pensioners will now receive a minimum of approx £1k towards their fuel costs this winter?

[Julian]

Originally Posted by mrmistoffelees

It's a step, and this is going to sound like whining, but i can't help but think that not everyone needs the £400 rebate, I'd rather those earning say over 100k per year were given no rebate whatsoever, the money that they would of received could be given to help others, more.

Apparently you can give it back to el gov HERE

I wonder how many times that's been used.

[pip08456]

I've just checked the £300 Pensioner Cost of Living Payment.

It only applies to those who were born on or before 26 September 1955.

[mrmistoffelees]

Originally Posted by Julian

Apparently you can give it back to el gov HERE

I wonder how many times that's been used.

'Donations in general towards public expenditure
If you wish to make a voluntary payment to HM Government you may arrange a direct bank transfer to HM Treasury. Please be advised that gifts cannot be ring-fenced for a specific purpose or assigned to a specific area of public spending.'