How will John Healey’s energy support package affect you?

John Healey’s energy support package aims to ease household bills this winter and reduce some costs over time, as higher oil and gas prices threaten to push average annual dual-fuel bills from £1,700 to more than £2,100 in January. Its main immediate measure is a £100 payment in January for 20 million households in council tax bands A to D.

The payment will cost £2.6bn and sit alongside the £150 Warm Home Discount for about six million eligible households. From 2027, the government plans to end gas standing charges for 23 million homes, shifting those costs into unit rates: lower-use households could save, while heavier users may pay more. VAT on electricity bills has also been removed until July, with estimated annual savings of £50; the article says earlier levy cuts have reduced costs by about £150 a year.