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Ofgem: £74m underspent in Warm Home Discount scheme

Obligated suppliers disbursed over £443.8 million, primarily in the form of £150 rebates and through industry initiatives, with £395.2 million allocated for England and Wales and £48.5 million for Scotland, according to a report

Ofgem‘s Warm Home Discount scheme’s annual report has disclosed an underspend of approximately £74 million in scheme year 12 (SY12).

This shortfall has raised concerns about the efficiency of support for vulnerable households across Britain.

Despite a total allocation of over £443.8 million, a significant portion remained unutilised.

The report highlights challenges faced by some suppliers in meeting their spending obligations, with four failing to fulfil their non-core spending requirements.

Ofgem reported that these four suppliers were So Energy and Utilita in England and Wales and Ecotricity and Good Energy in Scotland.

This resulted in a spending shortfall of £13,431, which has been added to their obligations for the subsequent scheme year (SY13).

Five additional instances of scheme non-compliance were identified due to administrative issues.

According to the report, Foxglove and Utility Warehouse failed to meet their reporting obligations for both the England and Wales and Scotland schemes.

Foxglove specifically failed to identify eligible customers for Broader Group rebates in Scotland.

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