State pensioners to wake up to £150 New Year bonus payment

Low-income pensioners could be set for a £150 new year boost to their finances. Millions of households are being supported by the Warm Home Discount scheme this winter.

The discount will continue to be applied to qualifying residents during January. Those who are eligible should have been sent a letter explaining they will be getting help with their energy bills.

The Warm Home Discount is worth £150. But it is not given out as a cash payment. The amount is taken directly off energy bills, helping low-income households to save on how much they pay for gas and electricity during the cold winter months.

READ MORE: State pensioners to have £21 wiped from bank accounts from January 1

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It’ll either be added as credit to energy accounts for direct debit customers or issued as a voucher for others. Those who qualify include pensioners on the Guarantee Credit element of Pension Credit and other households on benefits like Universal Credit, as long as they have high energy costs. This is decided by the Government.

The discount can be applied at any time between October and March. British Gas explained: “It’s there to provide support for those living on low incomes or pensions. If you qualify for the winter 2024/25 payment, you will have your one-off £150 discount applied by the end of March next year at the latest.

“The discount will be added to your electricity account as a credit. And if you’re on pay as you go, we’ll send you a voucher you can use to top up your meter at a Post Office. If you’re one of our Pay As You Go smart meter customers, we’ll even send it directly to your meter as a credit and send you an email to let you know it’s on there.

“If we can’t get it directly to your meter as quickly as we’d like, we’ll send you a voucher to top up from a Post Office. That way you’ll still get your discount as soon as possible.”

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