Will I get £400 energy rebate if bills are included in my rent?

Tenants fear they could miss out on a £400 energy discount after Chancellor Rishi Sunak announced a rebate for homes.

In May, Mr Sunak said he was doubling his planned energy bills rebate for Britons amid the cost of living crisis and offering a discount to homes that have a electricity supply contract.

But how do tenants who pay landlords for their utilities get their £400 rebate? Our expert Gemma Godfrey talks us through whether it is possible…

Image: Personal finance expert Gemma Godfrey

This is such a tough question and there’s no easy answer.

You’ve identified the key issue with the £400 energy payment – that in some cases it relies on the goodwill of a landlord to pass it on.

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The payment will only be made to households who have an electricity supply contract.

People that rent and pay the utility bills will get this payment directly. The problem arises if your rent includes bills, so your name is not on the utility contract and you do not directly pay them.

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In this case, the only way to receive the £400 energy grant is if your landlord chooses to pass it on.

They could either forward the payment to you or reduce the rent that month.

Either way, renters are at the mercy of landlords over whether they will receive any benefit.

There is no legal obligation placed on landlords and the government has recognised the issue on its website.

They advise that they are “exploring the issue” as they “continue to develop the policy”.

In the meantime, it could be worth discussing this with your landlord to see if they are willing to help. It’s in neither of your best interests if you struggle to pay the bills.

Gemma is a business advisor, finance expert and TV host, an ambassador for the charity Surviving Economic Abuse, and a former boardroom adviser to Arnold Schwarzenegger on The Apprentice.