High energy bills are adding an extra month’s rent to household finances

Estate agents Hampton’s finds that the average annual energy bill has reached the same price as an extra month’s rent each year.

Tenant’s energy bills peaked at the highest level in seven years, Hamptons found. In one year, average annual gas and electricity bills amounted to £1,331 for a typical rental home. This stands £1 higher than the average monthly rent in Great Britain of £1,330.

Over the past decade rents have risen by a total of 54% and energy bills by 46%- with most of the energy bill rise happening in the past two years.  

 “In the short term at least, falling energy prices are likely to see the issue drop down the political agenda. Therefore, minimum EPC standards for rented homes look unlikely to be introduced by the current government. But with a potential change of government, in the medium-term, landlords might see renewed pressure to make the homes they’re renting out more energy efficient,” Aneisha Beveridge, Head of Research at Hamptons, said.

Struggling with rent and energy costs?

If you’ve fallen behind with your energy bills, the first thing you should do is get in touch with your supplier. Some offer grants to help customers who are really struggling or you may be able to agree a payment plan for the amount you owe.

If you're vulnerable, it’s also worth finding out if you can sign up to the priority services register. This is a free scheme that provides access to extra help from your energy supplier. Find out more about the priority services register. 

Read our guide on what to do about energy arrears.

If you’re among the many people struggling to pay their rent or mortgage, you may want to get advice from Shelter.  They can provide information on dealing with rent arrears, as well as missed mortgage payments and repossession.

Find budgeting tips in our blog on how to manage rising rents and mortgage interest rates. 

Use our free benefits calculator to check you’re getting all the financial support you're entitled to.

If you’re on a low income or claim benefits, you may be able to get a council tax reduction of up to 100%. Check to see if you’re eligible.

Local councils have also been given a share of £842m to help families struggling with the cost-of-living crisis. Visit your local council’s website to see what’s available in your area.

And if you need free debt advice, we're here 24/7 online, or you can give us a call during our office opening hours. You may be surprised at the range of support that's available. Get in touch today.