Energy Bill Relief Scheme

The Energy bill relief scheme (EBRS) is a discount on the wholesale price of gas and electricity for non-domestic customers like schools.

It will fix prices for 6 months from 1 October 2022.

Warning The discount is automatically applied to eligible bills. If you get a message asking for your bank details, this could be a scam. You can report messages you think are suspicious.

The savings for energy used in October will be seen in your October bills, which would usually be received in November.

What it means for your contracts or tariffs

Fixed contracts

If you’ve got an existing fixed price contract or tariff

If your fixed price contract or tariff was agreed on or after 1 December 2021, you will get support if the price you’re paying is above the government supported price set out below.

The discount is for the wholesale price of gas and electricity. Other costs that are included in your bill, like administration fees or taxes, are not affected and will stay the same. These are known as non-commodity costs.

The government supported price will be set at:

  • 21.1 pence per kilowatt hour (kWh) for electricity, plus non- energy commodity costs at circa 10 to 15 pence per kWh depending on meter charges
  • 7.5 pence per kWh for gas, plus non-energy commodity costs at circa 0.5 to 1 pence per kWh depending on meter charges

Your per unit energy costs will automatically be reduced by the relevant pence per kWh for the duration of the scheme. The company supplying your energy will apply this reduction.

If the price of your fixed contract or tariff is below the government supported price that has been set out above, then you will not be eligible for support.

If you’re about to sign a new fixed price contract

The relevant price reduction will be automatically applied to your bill by your supplier.

If you signed your fixed contract before 1 December 2021

If you signed your fixed rate contract before 1 December 2021, you will not be eligible for support under the scheme.

Variable, deemed and all other contracts

For these types of contracts, the discount will reflect the difference between the government supported price set out below and relevant wholesale price.

The government supported price will be set at:

  • 34.5 pence per kWh for electricity, plus non-energy commodity costs at circa 10 to 15 pence per kWh depending on meter charges
  • 9.1 pence per kWh for gas, plus non-energy commodity costs at circa 0.5 to 1 pence per kWh depending on meter charges

If you’re out of contract

Use the Find a framework tool for DfE’s recommended energy frameworks.

If you get energy through a landlord/heat network/energy service company

The government expects businesses and other organisations to pass on the benefits under this scheme to the end user in a reasonable and proportionate way.

Reviewing the scheme

The government will publish a review into the operation of the scheme in 3 months’ time, to inform decisions on future support after March 2023. The review will focus on identifying the most vulnerable non-domestic customers and how the government will continue assisting them with energy costs. These are likely to be those who are least able to adjust, for example by reducing energy usage or increasing energy efficiency.

Get support with your procurement

Use the Get help buying for schools service to get help and support from our procurement experts. We can answer questions about buying energy services, help you find suitable frameworks, or help with running your procurement.