Alternative fuel payment: UK support explained

The Alternative Fuel Payment (AFP) was a one-off government grant designed to help UK households using alternative fuels for heating, such as heating oil, liquefied petroleum gas (LPG), or biomass, with their energy costs during winter 2022-2023. This £200 payment aimed to support approximately two million households not connected to the mains gas grid. While the application window for this specific scheme has now closed, understanding its criteria and how it was administered can still be helpful for those seeking information on past support.

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What was the alternative fuel payment?

The AFP was a specific initiative from the UK government to provide financial assistance to households that rely on non-mains gas heating.

Purpose of the scheme

The scheme's primary purpose was to alleviate the financial burden of rising energy expenses for households using alternative fuels. It provided a one-off payment of £200 to help with heating costs during the winter of 2022-2023. This payment aimed to ensure that typical customers using heating oil did not face a higher rate of growth in heating costs compared to those using mains gas, who were supported by the Energy Price Guarantee.

Who was it for?

The AFP was targeted at households in Great Britain and Northern Ireland that were not connected to the mains gas grid and used alternative fuels as their primary heating source. This included a wide range of properties, from rural homes to those in areas predominantly connected to the gas grid but still relying on alternative heating methods.

Eligibility for the alternative fuel payment

Eligibility for the AFP was determined by a few key factors, primarily focusing on the household's heating method and connection to the national gas network.

Qualifying fuels and heating methods

Households were eligible if their main heating method used alternative fuels, including heating oil (kerosene), liquefied petroleum gas (LPG), biomass (such as wood pellets or logs), coal, or other solid fuels.

Mains gas grid connection

A crucial criterion was that the household must not have been connected to the mains gas grid. This ensured the support reached those who did not benefit from the Energy Price Guarantee on gas rates.

Household residency requirements

The scheme covered eligible domestic properties across Great Britain and Northern Ireland.

How the payment was made

For most eligible households, the AFP was administered automatically. However, a manual application process was available for those who did not receive it directly.

Automatic payments via electricity suppliers

Most households eligible for the £200 payment received it automatically as a credit on their electricity bills, typically from February 2023. Electricity suppliers were provided with lists of eligible customers by the government to facilitate these automatic payments. Depending on how customers paid their electricity bills, the payment might have been issued as a Direct Debit refund, an account credit, or a smart meter credit.

In Northern Ireland, eligible households received a single non-repayable payment totalling £600, which included £400 from the Energy Bills Support Scheme and the £200 AFP, delivered through electricity suppliers. For those without a Direct Debit arrangement, vouchers were sent and could be redeemed at a Post Office.

Manual application process

A smaller number of households needed to apply for the support manually through an AFP Alternative Fund. This applied to those who did not have a direct relationship with an electricity supplier (e.g., park homes, houseboats, or homes off both gas and electricity grids) or whose homes were in areas mainly connected to the gas grid but still used alternative fuels as their primary heating source.

Payment timelines

Automatic payments were generally processed from February 2023. The online portal for manual applications was open until 31 May 2023.

Applying for the alternative fuel payment manually

If you were eligible but did not receive the payment automatically, a manual application was required through a government portal.

When to apply

The application window for the AFP Alternative Fund was open until 31 May 2023. This deadline has now passed.

Step-by-step application guide

For those who applied manually before the deadline, the process typically involved visiting a specific government portal on GOV.UK. Applicants were guided through an online form. For individuals without online access, a contact centre helpline was available to assist with the application process.

Required information and documentation

To complete a manual application, individuals needed to provide their name, address, and bank account details for the payment to be made. Applicants also had to submit proof of alternative fuel purchases totalling £200 or more, with purchases made between June 2022 and the end of the application window (31 May 2023). Acceptable proof included delivery notes or receipts, which needed to show the address, fuel type, purchase date, supplier name, and total amount spent.

Addressing common questions and concerns

Even though the AFP application window has closed, some questions may still arise regarding past payments or general concerns.

What if I haven't received my payment?

If you believe you were eligible for the £200 AFP and did not receive it automatically through your electricity supplier, or if you applied manually but the payment did not arrive, it is important to note that the application window closed on 31 May 2023. For specific queries about a payment you believe you were due, you would have needed to contact the government helpline or check the status of your application before the scheme closed.

Contacting support for the AFP

During the scheme's active period, a dedicated contact centre helpline was available for applicants in Great Britain at 0808 1753943, and for Northern Ireland at 0808 175 3894. These helplines operated Monday to Friday, 8am to 6pm.

Avoiding scams

Unfortunately, government support schemes can attract scammers. It is crucial to be vigilant against fraudulent messages or calls. Legitimate government bodies and energy suppliers will not ask for bank details via text or email, pressure you to pay quickly, or demand unusual payment methods. If you receive a suspicious message or call regarding energy payments, it is best to report it and avoid clicking on links or providing personal information.

Future of alternative fuel support

While the specific AFP scheme for winter 2022-2023 has concluded, the government continues to explore ways to support households with energy costs.

Government's ongoing commitment

The UK government has shown an ongoing commitment to supporting households with energy costs, particularly those using alternative fuels. While the AFP was a one-off payment, broader initiatives and policies are continually assessed to address energy security and affordability.

Planning for heating costs

Households using alternative fuels should continue to monitor government announcements for any new support schemes or initiatives. Planning ahead for heating oil or LPG purchases, exploring budget payment plans offered by suppliers, and ensuring your home is energy efficient remain key strategies for managing costs.

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