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STATS From: Budget 2026 live: Latest updates, analysis and fact checks

£100 energy payment will reach 20 million households and cost £2.6bn, says Healey

The Chancellor, John Healey, has said the £100 Household Energy Payment for council tax bands A to D will go to 20 million households this winter, at a cost of £2.6bn.

The money will be paid directly into people's bank accounts, Healey told the Commons. The Scottish, Welsh and Northern Ireland governments will receive their share of the funding.

"Paid directly into people's bank accounts to help deal with rising energy bills this is a £2.6bn scheme to take the pressure off in the coldest months and see people through to the Spring"

That is Healey's statement as reported by LBC.

On Healey's own figures, £100 for each of 20 million households comes to £2bn. That leaves £0.6bn of the stated £2.6bn cost that he did not account for in the speech. The figures have not yet been independently checked.

The payment was announced earlier in the speech alongside an extension of the cut to VAT on electricity to July.

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