The short answer
The 28 October 2026 Budget confirmed a one-off £100 household energy payment for council tax bands A to D in England, with Direct Debit payers paid from January 2027.1 GOV.UK has confirmed the core rules, but the full eligibility criteria are still to come, so the edge cases below are SwitchInsights' reading.
- Check your band, because bands A to D qualify if you are liable for council tax on your main home.
- Expect a bank payment, since Direct Debit payers are paid straight into their bank account from January 2027.
- Band E or above: English councils hold a £100 million discretionary fund, and the £150 Warm Home Discount still applies.
£100 energy payment 2026: who qualifies
Who qualifies for the £100 energy payment comes down to three tests, because the council tax bands A-D energy payment follows liability for the bill, not the energy account.1
- Find your band, which is printed on your council tax bill or available through the GOV.UK checker.3
- Confirm the property is your main home, as second homes and empty properties do not qualify.1
- Confirm you are liable for the bill, although GOV.UK includes most council tax exempt households, with MoneySavingExpert giving student-only homes as an example.12
The UK Government scheme covers England, where up to 20 million households are eligible.1 MoneySavingExpert reports that Scotland and Wales will make the same payment, whereas Northern Ireland is still considering how to use its funding.2
Renters, HMOs, shared ownership and off-grid homes
With the full eligibility criteria still to be published, the table is SwitchInsights' reading of the liability test.
| Household | Likely outcome | Why |
|---|---|---|
| Renter billed for council tax | Likely to qualify | The tenant is the liable person. |
| Renter whose rent includes council tax | Unlikely to qualify | The landlord holds the bill. |
| HMO or shared house | Depends on the tenancy | Separate room lets usually leave the landlord liable, whereas a joint tenancy usually makes the tenants liable. |
| Shared owner | Likely to qualify | Shared owners are liable for council tax on their home. |
| Off-grid home (oil, LPG, heat network) | Likely to qualify | The payment follows council tax, not an energy account. |
When it arrives and how it is paid
Direct Debit payers do not need to do anything, because the council pays the £100 straight into their bank account from January 2027.1 Other households will be invited by their council to apply, although GOV.UK gives no date.
The council pays it, not the energy supplier, so it will not appear as a credit on an energy bill, although Budget-day coverage from Uswitch floated a supplier discount.41
GOV.UK says nobody other than your council should contact you about claiming. Wait for the council's invitation and check any message on the council's own website before giving bank details.1
The Warm Home Discount is a separate £150 supplier credit for eligible households,5 and the SwitchInsights Warm Home Discount 2026-27 qualifying date guide has the supplier list.
£100 energy payment council tax band E and above: your options
The £100 stops at band D. English councils share a £100 million discretionary fund for households that miss out.1 Each council sets its own rules.
Many suppliers run hardship funds, so ask yours. The £150 Warm Home Discount stays fixed for households with a qualifying benefit,5 and the SwitchInsights energy debt crisis analysis explains why to ask early.
Whether the £100 covers the January bill rise
E.ON Next forecast, as of 2 November 2026, a January 2027 cap of £2,215 a year, £492 above the £1,723 Q4 2026 cap in force now.67
Ofgem is due to confirm the real figure by 25 November 2026, as the SwitchInsights Q1 2027 price cap forecast explains. The Budget's other measures are in the gas standing charge and energy debt relief scheme guides. For earlier background, see the SwitchInsights energy bills government response 2026 guide from April.
| Item | Amount | Note |
|---|---|---|
| Q1 2027 cap, E.ON Next forecast | £2,215 | Annual cost if the forecast holds. |
| Household energy payment | - £100 | New money. |
| Warm Home Discount | - £150 | Already available at the £1,723 cap. |
| Supplier hardship fund | Varies | Counted as nil here. |
| Net annualised bill | £1,965 | Net bill rises £392, from £1,573 to £1,965, as only the £100 is new money. |
SwitchInsights' analysis shows the £100 covers 20% of the annualised rise, or 81% of a simple quarter share of £123. Homes use most of their gas in winter, so the real January to March rise is likely higher.
Compare fixed deals on the SwitchPilot tariff tracker. The SwitchInsights pre-Budget preview shows what was expected before the announcement.
How SwitchInsights analysed this: SwitchInsights compared GOV.UK, MoneySavingExpert and Uswitch reports, then ran the SwitchInsights analysis on the GOV.UK rules, the E.ON Next forecast and the current Ofgem cap.