Shell Energy to give 157,000 people extra £150 this winter in £50m energy bills lifeline | Personal Finance | Finance
Shell Energy has announced it will pay £150 each to nearly 160,000 of its customers who are eligible for the Warm Home Discount this winter. The company says the extra payment will go into the accounts of around 157,000 customers. The measure is part of a newly announced £50million support package from Shell to help some of its most vulnerable customers.
As part of the support package, Shell Energy is also going to double its hardship fund from £10million to £20million.
This will continue through to the end of 2024.
Shell Energy states this will allow more customers to access “vital financial support” during the energy crisis and help reduce their energy debt.
Shell urges its customers who are struggling to pay their bill to get in touch with their customer services team.
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Once they do this they will be referred to a dedicated payment support team.
Once the team understands a customer’s circumstances, they can use the fund, and a wide range of other options, to help improve their situation.
Shell Energy state that it will “ do everything it can to help this winter.”
Tony Keeling, CEO of Shell Energy Retail, said: “The cost of living challenge so many people face this winter is unprecedented, and it requires Government, business and charities to come together to provide vital support over the coming months.
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One Shell Customer had a diagnosis of cancer and was unable to work. They were also not entitled to sick pay from their employer which caused them to fall into £475 worth of energy debt.
Another customer was a low-income single parent with two children and had accumulated energy debt of around £900.
They were paying over £100 each month in an attempt to pay back the debt however this had a huge knock-on effect on the quality of life for them and their family.
Shell Energy stated it used the hardship fund to clear the outstanding debt of these customers so they were able to improve their quality of life and get back on track their energy costs.
The Warm Home Discount is a government scheme which requires energy companies that supply UK households to give a discount on energy bills to customers who are on low income, living in fuel poverty, or more vulnerable to cold-related illness over winter.
The government is responsible for the policy and rollout of the discount, while Ofgem controls certain elements of it.
Ofgem confirmed in August that anyone eligible for the scheme would get a £150 discount off their energy bill for winter this year.
The money is not paid directly to someone but is applied to their energy bill as a one-off payment before March 2023.
People who will qualify automatically for the scheme include those who are in the “core group” which means anyone on the Guarantee Credit element of Pension Credit.
However, there is also a ‘broader group’, which means anyone who is both on a low income and meets their energy supplier’s criteria for the scheme.
People who are on pre-pay or pay-as-you-go meters can also qualify as well as those who live in a Park (mobile) home.
A person’s electricity supplier decides who can get the discount and the number of discounts suppliers can give is limited.
People are urged to check with their suppliers as early as possible to see if they are eligible and how to apply.
The Warm Home Discount Scheme will reopen for applications again in November.
