Millions of Brits will still receive the £400 energy rebate this winter, new Prime Minister Liz Truss has confirmed.
The PM announced a price freeze on the cost of energy for the next two years to help with the country's crisis.
In the new Energy Price Guarantee, it means a typical family will not pay more than £2,500 a year on bills.
READ MORE: Brits to have energy bills capped at £2,500 in plan to tackle cost-of-living crisis
However, the cap only limits the amount firms can charge customers and households could still pay more depending on usage.
Ms Truss also announced support for businesses for at least six months.
There will also be a fund for households who are not protected by the price cap.
The new cap will come into force on October 1.
Earlier this week, the Prime Minister announced:
- A two-year price freeze on bills
- Support for businesses for at least six months
- Households will still get the £400 rebate this winter
- Millions excluded by the price cap to get support from a new fund
Nearly 30million households are eligible for the discount which is being administered by energy firms.
British Gas, EDF, SSE and Ovo Energy are all putting the discount into customers' bank accounts if they pay by direct debit.
It's up to individual energy suppliers to determine how their customers are paid.
From October 1, the energy price cap will rise from £1,927 to £2,500 and will be fixed at this rate for next two years.
The cap will be paid through general taxation with the government set to reveal more in the Budget later this month.
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However, it will not protect customers from wholesale prices.
So if you use more energy than the typical households, you should expect to pay a higher amount.
And if you use less energy than the average home, you could even pay lower than the price cap.
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