09/10/11
Low income pensioners to get discounted winter electricity bills

More than half a million low income pensioners in England, Scotland, and Wales are to get discounted winter electricity bills.

Energy companies will reduce their charges by £120.

The scheme will also be made available to less-well off households with young children, but as Paul Lewis reports, there may not be enough money to help everyone who qualifies.

Some low income households face a race this winter to claim a discount of £120 off their electricity bill. The Government scheme is being paid for by all the major energy suppliers in Britain. Households on means-tested benefits including Income Support and Jobseeker's Allowance who also have a young child or a disabled person in the family may qualify for the £120 Warm Home Discount.

But the BBC has learned that five out of six of the major energy suppliers will limit the money they spend on this discount, giving it on a first come, first served basis. Scottish & Southern Energy says it may help fewer than 5,000 of its customers and after that, even those who qualify will be turned down. The only energy company not to impose a limit is British Gas. This week it's told the BBC everyone eligible who applies before the end of January will be paid.

But one group need not worry. More than half a million of the lowest income pensioners - those who only get the Pension Credit Guarantee Credit - should qualify automatically for the £120 discount.