England households in council tax bands A to D to receive £100 energy payment

Households in England living in their main home in council tax bands A to D will be eligible for a £100 payment towards energy costs, the government has announced. Payments are due to begin in January 2027, with up to 20 million households potentially qualifying.

Who qualifies and how will payments work?

The scheme covers eligible households liable for council tax on their main home. Most households exempt from council tax will also be included, according to the government, which says full eligibility criteria will follow. Empty properties and second homes are excluded.

People paying council tax by direct debit do not need to apply: the payment will go to their bank account. Councils will invite other eligible households to apply directly. People should check with their council if unsure whether a message requesting personal information is genuine.

Support outside England and changes to gas bills

The payment scheme applies in England. Scotland, Wales and Northern Ireland will receive additional funding, with their governments deciding how best to provide support locally. The government also says councils in England will receive £100 million for discretionary assistance to households outside the scheme.

Separately, ministers have asked Ofgem to remove standing charges from household gas bills as early as 2027. The underlying costs would be moved into the unit rate, so the impact on each bill will depend on how much gas the household uses.