HMRC income data could help decide who gets future energy bill support. Find out who could benefit, whether higher earners might pay more and what happens next.
HMRC income and Child Benefit records could be used to help decide which households receive support with their energy bills under new government plans.
The proposals are part of the Energy Independence Bill, introduced to Parliament on 4 November 2026.
They could make it easier for struggling households to get help, including people on low incomes who currently miss out because they don’t receive benefits.
But government documents also suggest that people on higher incomes could end up paying more towards the cost of future energy support.
Nothing has been decided yet, and the proposals don’t change what anyone pays for their energy now.
What is the government planning?
The government wants to make it easier to share information between public bodies and energy companies.
At the moment, the rules mainly allow this information to be shared to help people living in fuel poverty.
The problem is that some households struggle to afford their bills without meeting that definition.
Under the new proposals, more information could be used to work out who needs help.
The government’s official factsheet explains that this could include people with high energy costs, poorly insulated homes or additional heating needs.
It could also mean more households receiving support automatically, rather than having to apply for it.
What information could be shared?
Government documents identify at least eight sets of information that could potentially be used.
These include HMRC income and Child Benefit records, DWP benefits and pension information, and details about properties and their energy efficiency.
That doesn’t mean your energy supplier would suddenly have access to your entire tax record.
The information shared would depend on the particular support scheme and what was needed to check who qualifies.
The proposals would also keep existing data protection safeguards in place.
Importantly, the Bill itself wouldn’t introduce any new data exchanges. Further rules would be needed before information could be shared under the wider powers.
Could higher earners end up paying more?
Potentially, yes.
This is one of the more interesting parts of the government’s plans.
In its published impact assessments, the government explains that future energy support could be paid for through customers’ bills.
If that happens, households better able to afford the costs could be expected to contribute more, helping to reduce bills for those who need support.
But that doesn’t mean your energy company will start checking your salary and automatically charging you a higher rate.
There are no confirmed income limits, new charges or figures showing how much anyone might pay.
The government could also choose to fund future support through taxes instead of energy bills, or use a mixture of both.
So, while higher earners paying more is a possibility, it’s not a confirmed change.
Who could benefit?
One of the biggest potential benefits is for households that currently fall through the gaps.
For example, someone could be working, earning a relatively low wage and struggling to pay their energy bills, but not receive benefits that would qualify them for the Warm Home Discount.
Future support could take household income into account rather than relying mainly on whether someone claims benefits.
The government is also considering other factors, including family size, disabilities, medical needs and how much energy a home needs to stay warm.
Support could even vary between households, rather than everyone who qualifies receiving the same amount.
However, the government hasn’t decided who would qualify or how much help they would receive.
Skint Dad says:
Income doesn’t always tell the full story when it comes to energy bills.
Two families earning the same amount could have very different costs. One might live in a well-insulated home, while another needs extra heating or electricity for medical equipment.
If income is going to help decide who receives support or who contributes towards it, those differences matter.
The important thing will be whether any future scheme looks at what households can actually afford, rather than relying on earnings alone.
When could the changes happen?
Not for some time.
The Energy Independence Bill still needs to pass through Parliament before it can become law.
Even if it’s approved, the government would need to introduce further rules and set up any new support schemes.
Its impact assessment says the necessary arrangements aren’t expected to be in place until around winter 2028/29 at the earliest.
Even that date is uncertain.
The proposed powers for future energy bill support would cover England, Scotland and Wales. Northern Ireland has separate energy arrangements.
What should you do now?
There’s nothing you need to do about these proposals. You don’t need to contact HMRC or give your energy supplier any additional information.
But if you’re finding your bills difficult to manage, there are a few things worth checking now.
- Check existing help. The Warm Home Discount provides £150 off electricity bills for eligible households in England, Scotland and Wales. There’s also a separate £100 payment coming for eligible households in England from January 2027. We’ve explained who qualifies for the £100 energy payment and how to get it.
- Check what you’re paying. Our October 2026 energy price cap guide explains the current rates and why your actual bill depends on how much energy you use.
- Ask for help if you’re struggling. Your supplier may be able to arrange affordable repayments or offer additional support. Our guide explains what to do if you can’t pay your bills.
For now, there are no new income checks or charges being introduced under these proposals.
The government is looking at how future support could reach more households and how the cost could be shared.
Whether that eventually means some people paying more remains to be decided.
