UK Government Announces new Energy Bills Discount Scheme for Businesses, January 2023

The UK Government has recently announced a new two-tier energy bills discount scheme which is due to be launched from April 2023.

This new scheme from HM Treasury means UK businesses and other non-domestic energy users that qualify will get a discount on high energy bills until the end of March 2024.

The new Energy Bills Discount Scheme for UK businesses, charities, and the public sector will come into effect from April. This replaces the current Energy Bill Relief Scheme finishing in March.

It’s been reported that wholesale gas prices have dropped to levels just before the start of the civil conflict in Ukraine and are almost half the price since the current scheme was announced.

The Government says the new scheme is intended to help manage their costs of businesses that were locked into contracts signed before substantial falls in the wholesale price.

It is also said the scheme will provide others with reassurance against the risk of prices rising again.

From April 2023, eligible non-domestic customers who have a contract with a licensed energy supplier will see a discount automatically applied to both their gas and electricity bills.

The Government says this discount will be applied to business customers energy bills until the end of March 2024.

They also advise a higher level of support is to be provided to businesses in sectors identified as being the most energy and trade intensive.

More information about the new scheme can be found at the UK Government website.