Healey announces £100 winter energy payment for 20 million households
Developing story first seen 1 hour ago
Chancellor John Healey announced a £100 winter energy payment for 20 million households in council tax bands A to D, saying it would help families manage rising bills. The plan forms part of a wider effort to ease household costs while reshaping the energy market, with the Government maintaining its commitment to net zero by 2050.
The payment is part of a £2.6 billion scheme and is due to go directly into recipients’ bank accounts. Healey also extended a VAT holiday on electricity bills to July and plans to ask Ofgem to remove gas standing charges in 2027 or as soon as possible after; the charge is about £108 a year for a typical household. Experts say the effect of removing it could vary: a home using 7,000 kWh of gas annually might save about £40, while one using 14,000 kWh could pay £25 more; a typical 11,500 kWh user may see no change.
- Sources
- 2
- Outlets
- 2
- Left · Centre · Right
- 0 · 0 · 1
In short
- 20 million households are due a £100 winter energy payment.
- The scheme will cost £2.6 billion.
- Removing gas standing charges could affect households differently.
How this story developed
- 8 minutes ago Chancellor John Healey announced a £100 winter energy payment for 20 million households in council tax bands A to D, saying it would help families manage rising bills.
Steelman: both sides, in good faith
The strongest fair case each way — we don't pick a winner.
The case for
Supporters can argue that a direct £100 payment to 20 million households offers timely, practical help with winter bills, while the VAT extension provides further relief. Targeting council tax bands A to D directs public money towards many households likely to be under pressure, and the wider package can be seen as easing costs while retaining the net-zero commitment.
The case against
Critics can argue that a universal payment across bands A to D may not focus support on those facing the greatest hardship, and that £100 may offer only limited relief from rising bills. They may also question the cost and design of the broader measures: removing gas standing charges could leave some households paying more, while keeping the net-zero commitment may constrain choices about reducing energy costs.
Coverage · 2 sources
Read the full article at the source →
Originally published by Daily Mail as “Healey’s £2.6billion winter warmer: Chancellor to give 20 million households £100 handout towards energy bills”.