Government enrgy payment and direct debit costs

[LimboLass]

Does anybody know if energy companies factor in the government payments of £66 when calculating what your new energy payment should be? Or will accounts predicted to break even actually end up £400 in the black due to the government contributions?

Our direct debits have gone up from £90 to £220 and we are currently working out how much we want to reduce this by. Yes we are aware it works out correct on average but we know we can reduce our usage so want to reduce the debits too.

I was wondering this and whether the money will go straight to the energy supplier or to us

Following with interest

the money is going to your electricity supplier in six installment. one a month from six months. I don't think the leccy suppliers are factoring it into their calculations because there will be another cap review, at least one so prices will go up. www.citizensadvice.org.uk/consumer/energy/energy-supply/get-help-paying-your-bills/grants-and-benefits-to-help-you-pay-your-energy-bills/

@godmum56
Thanks

Either way I can't see us actually being better off as the prices will infate so it'll even out but by October we will all be paying more anyway

I'll be putting my on sparingly

British gas are going to take your DD as normal, then refund the £66 back to you

Email from BG to say they will take out my normal DD in October then refund £66, this will be the same for the following 5 months

I'm guessing if British Gas are doing this - the other suppliers will do the same?

Even so - all very worrying

I suppose it is probably easier for them to refund the £66 across the board rather than adjust every bill but it is not very good for customers cash flow if they are stretched.

I've just received a very, very long email from Octopus.
This is what they say about this credit:

"In May the government announced £400 support per household, which will reduce the impact of the October rise to about 50% more than current prices. This will take the form of an automatic monthly credit of £66 or £67 between October and March for all electricity customers, and where appropriate, an automatic reduction in your monthly payments. You don't need to apply for this and we will pass it on automatically — we'll also provide a way for anyone who wants to donate their credits to those who need it more to do so."

Sure I got something from bulb saying they wouid take my normal dd then credit my account with £67

We switched off the hot water months ago........🙄