Economic experts have warned that more than 1 million households will lose the 150 150 discount on Rishi Sunak’s energy bill. The chancellor announced last month that the majority of families would be handed 350 350 to ease the blow to rising energy bills, which would rise by 54 per cent to almost £ 2,000 a year from April. The Treasury Department’s 9 9bn bailout package includes a 200 200 automatic rebate on energy bills to be paid and a 150 150m one-off municipal tax rebate, available from next month. However, according to the Independent Budget Office, 7 percent of households are unlikely to claim payment because they do not pay local authority fees directly. With 20 million households eligible, the OBR says that could equate to about 1.4 million households missing out on the discount.
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The government’s financial and financial overseer notes that while the Treasury Department has estimated the full adoption of the με 2.9 billion system, failing to distribute the discount to all eligible households could save 200 200m for Mr. Sunak. “While for instant payers the rebate is automatically deducted, for others it is based on the board contacting them and ‘being invited to file a claim,’” the OBR said. “The total level of absorption therefore depends on the ratio they pay through direct charges and the absorption among other taxpayers of the municipality. “We assume 80 percent absorption among those who do not use a fixed charge. This means that about 7 percent of the total 2, 2.9 billion expenditure allocation will not be paid to eligible, 0.2 billion households. The government insists that there are other ways to pay the discount to individuals, including the use of postal vouchers or credit against the municipality’s tax liability for those who do not wish to share bank details. Mr Sunak came under fire for not doing enough in his spring statement on Wednesday to ease the pressure on millions of families as energy, fuel and food prices soared. Despite the increase of the limit for the National Insurance and the announcement of a plan to reduce the basic income tax rate by 1 p.m. In 2024, the Chancellor went up with a 1.25 percentage point increase in National Insurance along with other tax increases that economists say will leave many people worse off. On Thursday, Mr Sunak hinted that he could do more in the autumn to help those struggling with their bills, when the energy ceiling is projected to rise again to 2. 2,800. Regarding the adoption of the council tax deduction already announced by the Chancellor, the government said it was confident that all those entitled would “receive their payments on time”. A spokesman added: “Fixed billing is the fastest and easiest way to pay municipal taxes and the best way for most people to get the discount. “The councils are responsible for ensuring that eligible households that do not pay their city tax with a direct charge will receive the discount and we offer a range of payment options for use.”
