Jeremy Hunt has said the energy bill support scheme will be extended in April, with details to be set out “very shortly”.
The chancellor sought to “reassure” businesses feeling the pinch amid the cost of living crisis.
The government previously promised to pay a significant part of companies’ energy bills in September, but the support would become more targeted after six months.
It sparked concerns from many businesses about the end of the current support in April.
“I can reassure people that we will be continuing with support,” Hunt told Andrew Marr on LBC.
He said an announcement on the “precise details” will come “either just before or just after” Christmas.
It comes as a crossbench committee of MPs called for cost of living payments to people on means tested benefits to be spread out over next winter.
In a new report, the Treasury committee said payments totalling up to £900 should be divided across several months.
The committee highlighted eligibility “cliff edges”, where those who earn just £1 too much, or become eligible for a benefit a day too late, receive no support. This has consequences for fairness and work incentives, it said.
A public information campaign aimed at reducing energy use will start this weekend.
The government will urge Brits to save energy by turning down boilers and radiators.
Energy Bill Support Scheme will be extended in April, Chancellor Jeremy Hunt says