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£400 energy support payment

The government sends every household a cheque. Does it actually help?

Mechanical ledgerA direct double-entry movement — no calibration debate.

The verdict

Households pay 35p of every £1 of pressure. Government gain 50p.

35pof every £1 of pressure lands on Households

Where the pressure moves

The £1 pressure trail

Live — computed from the ledger, not a graphic
Scenario pressure diagram: Households pay 35p of every £1 of pressure. Government gain 50p.£1£1£1Government+50pHouseholds35pBusinesses15pCentral Bank
Green trails = cash / relief received. Red trails = pressure absorbed. Every £1 has to land somewhere.Every £1 of pressure · rebased to 100p

How to read this — three tiers

LedgerReal cash, deposits or reserves move between actors. Conservation-checked.
ValuationExisting assets are marked up or down. No cash changes hands, but balance sheets move.
IndicatorA directional pressure gauge only. Not a cash movement and not a balance-sheet entry.

Who gains

  • Government+50p

Who pays

  • Households35p
  • Businesses15p

What it means for one person

Margaret

retired, prepayment meter, one-bed flat

She receives the full £400 as cash — but £180 of it flows straight to her energy supplier by month's end. The rest is savings runway.

The context

Universal transfers land as cash on household balance sheets and appear as spending on the government's. But how much of it stays with households — and how much leaks straight back out?

Explore further

Change a lever. See how the trail moves.

Sources

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