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Nine million UK homes heading into winter in energy debt

Summarised from 2 outlets · 3 reports · Updated 21 Oct, 00:20 · Archive

More than nine million UK households are entering winter either in debt to their energy supplier or with no credit, according to a Uswitch survey. Around 3.4 million households – nearly one in eight – are in debt to their supplier, owing an estimated £750 million, or an average of £220 each. Two in five households (40%) feel more anxious about paying for energy this winter compared with last year.

Direct debit payments are designed to allow customers to build up credit during summer to cover higher winter costs. However, just 55% of billpayers are in credit this year, down from nearly two-thirds (64%) in 2022. Even among those in credit, only three in ten (29%) have saved £300 or more, with the typical billpayer holding between £51 and £100.

Forecasters predict the energy price cap will rise by around 22% in January. According to the survey, 43% of billpayers plan to wear extra layers rather than turn on heating, and one in twelve (8%) plan to spend less on food to cover energy costs. Ben Gallizzi, energy spokesman at Uswitch, said the forecast price increase means 'worry is climbing', though he suggested 'a few simple actions could make a huge difference'.

Nine million UK homes heading into winter in energy debt
Image: The Independent

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In this story: Uswitch · Ofgem · UK

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