The government’s energy support scheme, which will help schools and other public sector bodies with soaring gas and electricity bills from next month, may involve “backdating if necessary”, No 10 said today.
Details of how the policy will work have not been confirmed, but the government said the scheme will help with October bills, and that this could involve backdating the support if its launch is delayed.
Prime minister Liz Truss announced a new energy price guarantee last week, which will hold average household bills to no more than £2,500 from 1 October.
She also said that businesses and “public sector organisations” would receive support for at least six months, with a review to decide if they the help should be offered for longer.
Government officials are currently working on a strategy to support business energy customers - which includes schools - through the winter.
Downing Street said today that more details about the support would come next week, adding it would backdate support if there is a delay to getting the new scheme off the ground.
The prime minister’s official spokesperson said: “We will confirm further details of the business support scheme next week. The scheme will support businesses with their October energy bills and that includes backdating if necessary.
“We did recognise there is concern about the support but what we are saying is that we will be providing the support to cover their October bills.
“We’re still working through exactly whether it will need legislation.”
Geoff Barton, general secretary of the Association of School and College Leaders, said schools were “in limbo” at the moment, as the lack of certainty regarding the scheme meant they did “not have enough information for their financial planning”.
“We understand that there is likely to be a financial statement from the government on Thursday 22 September, and an emergency bill on energy prices the following day.
“We hope that this gives schools and colleges the information they desperately need about how the energy price guarantee will work”, he said, as well as adding that more information was needed on what will happen after the scheme’s initial period closed.
Many schools are projecting that their high energy bills will last well beyond the next six months.
One large multi-academy trust told Tes last month that it projected its energy costs would rise to £14.3 million across the whole of 2022-23, an increase of £9.2m on last year.
The schools’ sector generally welcomed last week’s announcement that support on bills was coming, but pressed the government for more details and an offer of support beyond six months.
Speaking at the time, Leora Cruddas, CEO of the Confederation of School Trusts, said: “Schools and trusts need budget security over the whole financial year, not just for the sixth-month period beginning in October 2022.
“The late announcements on the teachers’ pay award and support staff pay offer has already impacted on fiscal planning for trusts. Further uncertainty over energy costs in this financial year will impact negatively on the ability of trusts to make secure financial decisions and exercise financial governance.”
Tes has approached the Department for Business, Energy and Industrial Strategy - which is leading on the support scheme - for comment.
