Warm Home Discount Scheme

(asked on 30th October 2018) - View Source

Question to the Department for Business, Energy and Industrial Strategy:

To ask the Secretary of State for Business, Energy and Industrial Strategy, for what reasons the warm home discount scheme is only eligible for use with some electricity suppliers; and whether he plans to extend that list of suppliers for the scheme.


Answered by
 Portrait
Claire Perry
This question was answered on 5th November 2018

We set a threshold of a minimum number of customer accounts for supplier participation in the Warm Home Discount to ensure small suppliers are not disproportionately burdened and to avoid creating excessive barriers to entry to the market. Following the Warm Home Discount consultation earlier this year, we decided to retain the customer threshold at 250,000 domestic accounts for participating suppliers in 2018/19, but to lower it to 200,000 in 2019/20 and 150,000 in 2020/21. We intend to reduce the threshold to zero or a small minimum, if the evidence on the impacts of reducing the threshold on the energy markets supports this approach. This gradual reduction will give smaller suppliers time to prepare for delivery, adjust their business models and help minimise the risk of non-compliance.

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