The Warm Home Discount scheme could be expanded under a new proposal in response to the news that Ofgem's energy price cap will rise higher than expected in April.
Energy bills for the average households are set to rise by 6.4 per cent from £1,738 to £1,849, the UK's industry regulator has confirmed.
In response to this, the Government has suggested almost three million more households, including almost one million households with children, would get support to pay their gas and electricity bills next winter.
Labour ministers are consulting on proposals to offer more support to consumers across the country, with the cost of living crisis set to continue for the foreseeable future.
Notably, the Government is exploring the expansion of the Warm Home Discount, which gives eligible families £150 off their energy bills. Families get this support if they get the Guarantee Credit element of Pension Credit or have are low income and have high energy costs.
Do you have a money story you’d like to share? Get in touch by emailing money@gbnews.uk.
The Warm Home Discount could be expanded under a new proposal
GETTYIf approved, this would bring around 2.7 million households into the scheme with the total number of households claiming the discount jumping to 6.1 million by next winter.
Energy Secretary Ed Miliband said: "This Government is determined to do everything we can to protect people from the grip of fossil fuel markets.
"Expanding the Warm Home Discount can help protect millions of families from rising energy bills, offering support to consumers across the country. This is a Government that will always stand up for working people.
"Alongside this, the way to deliver energy security and bring down bills for good is to deliver our mission to make Britain a clean energy superpower- with homegrown clean power that we in Britain control."
Britons have struggled with energy bills in recent years GETTY As well s this, the Government has confirmed it will work alongside Ofgem to move forward with proposals on a potential debt relief scheme.
This policy idea was first consulted on last year with the aim of targeting unsustainable debt built up during the energy crisis.
If these plans were approved, he target would be to reduce the debt allowance to pre-crisis levels, with Ofgem estimating that these plans could lower these costs by £25 to £30 per year.
Ofgem CEO Jonathan Brearley added: "Energy debts that began during the energy crisis have reached record levels and without intervention will continue to grow. This puts families under huge stress and increases costs for all customers.
"We’re developing plans that could give households with unmanageable debt the clean slate they need to move forward.
"We welcome the Government's support for these plans, and their plans to expand the Warm Home Discount, which will also offer financial help to nearly three million more households that need it most."
LATEST DEVELOPMENTS:
The £150 Warm Home Discount is intended to help eligible people with the extra costs of keeping warm in the winter PAIn recent months, the Government has extended the Household Support Fund to help families with the cost of living crisis.
Furthermore, Labour ministers have cited work with energy suppliers to negotiate a £500million winter support package for consumers.
As part of efforts to make homes more energy efficient, the Government has continued with the Warm Homes Plan which is expected to upgrade 300,000 properties this financial year.
It is also consulting on boosting living standards in the private rented sector by requiring all private landlords in England and Wales to meet Energy Performance Certificate (EPC) C or equivalent in their properties by 2030.
