YPO Update - Energy Relief Scheme

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YPO update regards support for schools energy bills, this applies to schools whose utility contract has been procured through YPO via the Bradford Council Energy team.

Following recent government announcement find below an update from YPO regards the Energy Bill Relief Scheme. 

If you have any concerns or question please contact YPO directly. 


Dear customer,

Energy Bill Relief Scheme

Like us, I’m sure you’ve been readily awaiting the government’s announcement for a package of energy support for businesses. Yesterday, the Energy Bill Relief Scheme was published and key points of the scheme are outlined below:


  • Energy prices for non-domestic energy customers such as businesses, charities and public sector organisations will be cut.
  • It will apply to fixed contracts agreed on or after 1 April 2022, as well as to deemed, variable and flexible tariffs and contracts. It will apply to energy usage from 1 October 2022 to 31 March 2023, running for an initial six-month period for all non-domestic energy users.
  • To administer support, the government has set a Supported Wholesale Price – expected to be £211 per MWh for electricity and £75 per MWh for gas, less than half the wholesale prices anticipated this winter – which is a discounted price per unit of gas and electricity.


  • The level of price reduction for each business and organisation will vary depending on your contract type and circumstances:
    • Non-domestic customers on existing fixed price contracts will be eligible for support as long as the contract was agreed on or after 1 April 2022. Provided that the wholesale element of the price the customer is paying is above the government Supported Price, your per unit energy costs will automatically be reduced by the relevant p/kWh for the duration of the scheme. Customers entering new fixed price contracts after 1 October will receive support on the same basis.
    • Those on default, deemed or variable tariffs will receive a per-unit discount on energy costs, up to a maximum of the difference between the Supported Price and the average expected wholesale price over the period of the Scheme. The amount of this Maximum Discount is likely to be around £405/MWh for electricity and £115/MWh for gas, subject to wholesale market developments. Non-domestic customers on default or variable tariffs will therefore pay reduced bills, but these will still change over time and may still be subject to price increases. This is why the government is working with suppliers to make sure all their customers in England, Scotland and Wales are given the opportunity to switch to a fixed contract/tariff for the duration of the scheme if they wish, underpinned by the government’s Energy Bill Relief Scheme support.


    • For businesses on flexible purchase contracts, typically some of the largest energy-using businesses, the level of reduction offered will be calculated by suppliers according to the specifics of that company’s contract and will also be subject to the Maximum Discount.


  • The government will publish a review into the operation of the scheme in three months to inform decisions on future support after March 2023.


  • This support is in addition to the Energy Price Guarantee for households.


Our framework gas supplier Corona Energy is currently seeking further information on specifically the flexible contracts as the current guidance seems a bit vague. We’ll share this with you as soon as more information becomes available.


As well as the government announcement, we’re also aware that some customers are awaiting mid-year reconciliation figures from Corona Energy and/or Npower Business Solutions. We’re in the process of finalising communications around this and information will be shared with customers early next week, with further communications from Npower being sent thereafter.


Additionally, Corona, has made us aware of a mid-year reconciliation which is in progress, and we anticipate that we’ll also be in a position to advise customers further next week.


If you have any immediate questions before you receive further communications from us, please get in touch at s.hill@ypo.co.uk


Kind regards,


Simon Hill
Managing Director

YPO - Better value, delivered.
41 Industrial Park, Wakefield, WF2 0XE



Published: 26/09/2022
Audience: Head teachers, business managers, finance managers
Contact: Simon Hill

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