The UK Government is helping businesses reduce their energy bills through the Energy Bill Relief Scheme (EBRS). Energy suppliers and consumers can’t profit from the scheme; its sole purpose is to provide relief on necessary energy bills.
Below, we summarise the key features of the scheme, answer the most common questions and explain what it means for business energy customers and their bill.
For help to manage bills or save energy, visit our energy bill support hub.
What is the Energy Bill Relief Scheme (EBRS)?
The Energy Bill Relief Scheme (EBRS) has been introduced to support non-domestic energy users including businesses, public sector organisations, and charities.
The scheme applies a discount to gas and electricity unit rates for the majority of non-domestic energy customers.
The government has published a guide outlining how much the EBRS discounts to customer unit rates will be for fixed and variable contract types.
Published discounts for all eligible customers cannot take your unit price below 21.1p/kWh for electricity and 7.5p/kWh for gas.
When is the EBRS being introduced?
The EBRS discount will be applied for six months, covering consumption from 1 October 2022 to 31 March 2023.
You should see the EBRS discount on your bill from November onwards, but backdated adjustments will be applied for any consumption during October.
Who is eligible for the EBRS?
The scheme is available to customers on a non-domestic energy contract who are:
- on existing fixed price contracts that were agreed on or after 1 December 2021* (even if the contract starts later)
- signing new fixed price contracts
- on out of contract, variable or deemed rates
- on flexible contracts
Support will only be applied within different contract types for the duration of the scheme, which is 1 October 2022 to 31 March 2023.
The scheme is not open to:
- customers that use gas to generate power which is supplied back to the grid
- domestic customers
*The Department for Business, Energy and Industrial Strategy (BEIS) revised this on 10 October (previously 1 April 2022)
Do I need to apply for the EBRS discount?
No. All energy suppliers must automatically apply a discount to unit rates. There’s no need to contact us to claim the EBRS discount.
If you get a message asking for your bank details, this could be a scam. Find out more about how to keep your information safe and avoid scams.
Can I opt out of the EBRS?
You can opt out of the scheme by notifying our customer service team.
If you're an intermediary, for example a landlord supplying tenants, you cannot opt out of the EBRS. You're legally obliged by the government to pass on what it describes as a ‘just and reasonable’ amount to the end user. Further information for those customers unable to opt out is on gov.uk.
Customer data
The government will receive access to, store and process customer data as set out in the EBRS privacy notice accessible at gov.uk.
How the scheme works for different business energy tariffs
The way the scheme works depends on the type of business energy tariff you’re on. Below, we explain how the EBRS works for different business energy customers.
- If you agreed your fixed price contract on or after 1 December 2021, you’ll receive the discount if the calculated wholesale element of the price (Reference Wholesale Price) you’re paying is above the ‘government supported price’ for the period between 1 October 2022 and 31 March 2023.
- If your fixed tariff is based on wholesale prices below the ‘government supported price’, then you will not be eligible for support.
- We’ll automatically apply support to your bill in the form of a p/kWh discount to your unit rate.
- The government has determined what the value of the discount will be for customers. This is available in a guide, published here.
- The discount is calculated as the difference between the Reference Wholesale Price (a government determined value reflecting the winter commodity price at the time a customer locked into their contract) and the Government Support Price that has been published at £211/MWh for electricity and £75/MWh for gas.
Q: Will I be eligible for support if my fixed contract signed before 1 December 2021 ends during the support period?
A: If your pre-1 December contract expires at some point between 1 October 2022 and 31 March 2023, you’ll be eligible for support on the first day after the end of the contract whether you renew on a fixed contract or roll on to an out of contract rate.