UK Energy Debt Reaches Record £4.79 Billion
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- Customer debt to energy suppliers in England, Wales, and Scotland has hit a new record of £4.79 billion, a 15% increase year-on-year, according to regulator Ofgem.
- Average arrears for those without repayment plans are significantly higher, as energy prices are set to rise again in July.
KI-generierte Zusammenfassung
The amount of money owed to energy suppliers by customers has risen again to a new record high of £4.79bn.
Regulator Ofgem said that total debt and arrears in England, Wales and Scotland had risen by 15% in a year.
The data, external is updated every three months, with the newly-published figures covering the period from January to the end of March. They relate to energy customers who have been in debt for more than three months.
Average arrears for those without a repayment plan hit £1,876 for electricity and £1,623 for gas – more than twice the amount as those who have a repayment agreement.
Energy prices will rise for millions of households in July – driven by the increase in the cost of gas.
Experts say there are options to cut bills, even though people may feel they have already made every saving possible.
Some 22 million people - about 40% of billpayers - have the certainty of fixed tariffs.
In these deals, the cost per unit does not change for the term of the tariff, which is usually a year. The total bill still depends on the amount of energy used.
Options on the market are cheaper than the price cap level. However, if international events do change and prices fall sharply, savings might not be so clear-cut.
