Millions of households to receive new £200 payment, check if you're eligible

Millions of households will receive their Alternative Fuel Payment (AFP) of £200 this week as one of the several ways in which the government is providing energy bill support.

The £200 payment will go out to roughly 2.5 million individual households this week and there is also a £150 payment for businesses to help cope with energy costs.

Off gas grid

The AFP scheme is for those who are off gas grid, which simply refers to those who don’t use mains gas for heating. This means if you heat your home from a different source such as heating oil, biomass and liquefied petroleum gas (LPG) you could be eligible.

It is thought that more than 1.6 million households rely on heating oil, including many homes in rural areas. Those who have electricity suppliers will get the credit automatically as a reduction on their bill, however those who are fully off grid or live on boats or park homes will need to apply to receive the payment through an online portal that will launch later this month.

Businesses running off grid may also need to apply on the portal too, including shops, offices, libraries, schools, hospitals, factories and farms. Business payments can be expected by March 10 and applications on the portal will just require your household bank details and possibly your Meter Point Access Number (MPAN), as per The Sun.

Read more:

⋙ Millions to receive first £301 instalment of £900 cost-of-living payment

⋙ Payments you can expect in February, from cost-of-living support to state benefits

£3 billion in government support

The scheme is part of ongoing efforts to help homes and businesses cope with the energy crisis. Minister for energy and climate Graham Stuart explained, according to Gov.uk:

Our main energy bill support schemes have seen millions of homes and businesses across the country get much needed help to cover costs, with figures today showing nearly £3 billion in government support has been paid out to businesses to date.

Now we’re getting support to those remaining few that are off the gas grid and most difficult to reach.

If you’re not eligible for the Alternative Fuel Payment, further support is available in the way of cost of living payments of £900, energy bill support of £400 and various other benefits as part of the Household Support Scheme. Check your local council’s website to find out more.

The government has also advised customers to take no action until the online portal launches later in February. Furthermore, they have warned households to be wary of scams as customers will not be asked for details by any individual or organisation before this date or outside of the portal.

Read more:

⋙ Thousands will be entitled to £10K if major rule change is confirmed with DWP support payment

Sources used:

- Gov.uk 'Households, businesses and organisations off the gas grid to receive energy bill support over the coming weeks'

- The Sun 'CASH IN Exact dates millions of households will get up to £200 energy bill help this spring as payments start going out today'