One third of PPM support vouchers yet to be redeemed

A third of households on traditional prepayment meters (PPMs) have yet to redeem their Energy Bill Support Scheme vouchers, prompting the government and charities to urge them to do so.

The £11.7 billion scheme is administered by energy suppliers on behalf of the government and will give households £400 off their electricity bills in six monthly instalments over winter, starting in October.

Official figures from the Department for Business, Energy and Industrial Strategy (BEIS) show more than 27 million British households received funding last month, 97% of those eligible, as the scheme provided £1.8 billion in payments.

The scheme is applied by retailers according to how customers receive their bill, such as via direct debit, credit, smart and traditional PPMs.

Those on traditional PPMs are sent monthly vouchers by their supplier via text, email or post. These expire after 90 days to ensure it helps people over the winter months but can be reissued by the supplier on request.

As well as notifying customers in advance of the vouchers being issued, suppliers must make several attempts to contact customers who have not redeemed their vouchers. All vouchers must be redeemed by 30 June 2023.

However, BEIS has revealed that only around two thirds of the 2 million consumers with traditional PPMs have so far redeemed their vouchers.

Business secretary Grant Shapps said in response: “All vouchers have now been sent to customers who should have them, so I urge everyone who uses a traditional prepayment meter to make sure they receive their voucher from their supplier and redeem them promptly so they get the energy bill support they are entitled to.”

Peter Smith, director of policy and advocacy at charity National Energy Action, said the figures are “very worrying”.

He commented: “Households using older prepayment meters face significant challenges accessing this government support, despite being at acute risk. If they cannot afford to top up, they will lose access to energy entirely – self-disconnecting and trying to survive the stark consequences that go with no heat or power in the home.

“These latest statistics are therefore very worrying and while we hope that many households who have received these vouchers are still waiting to use them when the weather turns colder, it could be an early indication that those most in need could miss out on this vital support.”

Gillian Cooper, head of energy policy for Citizens Advice, said: “As winter starts to set in, this financial support should help millions of people to keep their heating and lights on. It’s vital it reaches everyone who needs it.

“Most people should get the payment directly, but if you use a traditional prepayment meter, you’ll be sent monthly vouchers that you can redeem at your local shop or Post Office. If you haven’t received the first 2 payments, contact your energy supplier as soon as possible.”