Household bills continue to rise across the UK, but there are still some easy ways to cut costs. The average household can save hundreds of pounds each year by following our tips.
Reducing your home phone and broadband bill
There are a lot of suppliers out there and it’s easy to cut your monthly phone and broadband bills. Find out how in our guide How to reduce your home phone and internet bill.
It's important to consider your landline costs when looking at broadband prices – as many seemingly cheap deals make you take out expensive line rental. In most cases, you need a landline to get broadband.
It’s never been easier to change home phone and broadband provider. And you could save yourself hundreds of pounds on your bills. Find out more about the basics of switching.
Get a cheaper mobile phone bill
Is your mobile phone contract coming to an end? Are you trying to find the cheapest way to get the latest handset?
Here are a few tips to keep your bills low:
- Use online tools to analyse your bills and recommend a contract.
- Negotiate with suppliers – remember that you’re in charge.
- Use price comparison websites to find the best deal for you.
Find out more in our guide How to save money on your mobile phone and try our free and easy-to-use Budget Planner.
Cutting the cost of your water bill
The average yearly water bill in England and Wales is £473, according to Ofwat, the Water Services Regulation Authority. And although you can’t switch water supplier, there are ways to save money on bills.
For example, you could:
- have a free water meter installed
- take fewer baths and switch to showers
- switch to a more efficient shower head.
Find out more in our guide How to reduce your water bill.
Government help to reduce your energy bills
Gas and electricity prices are controlled by the Ofgem Energy Price Cap. This limits what your supplier can charge you for each unit of energy you use.
It’s worth checking if you can get cheaper energy bills by switching supplier or tariff (the deal you’re on).
You can compare energy deals using comparison sites, like:
The comparison sites listed above only work in England, Scotland and Wales, if you’re in Northern Ireland you can find more information about the suppliers you can switch to on the Which? siteOpens in a new window
It’s usually cheaper to pay by monthly Direct Debit, rather than cash or cheque.
For more financial help and ways to make your home more energy efficient, see our guide How to reduce your energy bills.
Get ready to switch
Energy prices are very high. From 1 October 2024 the Ofgem energy price cap is set at £1,717 for a typical household. This will change again on 1 January 2025 to £1,738 a year. In Northern Ireland, the Utility Regulator checks that prices charged are fair.
There are now a few fixed deals available at the price cap or slightly below it, so keep a close eye on prices. Try using comparison websites and be ready to switch when better deals become available.
Warm Home Discount
The Warm Home Discount SchemeOpens in a new window offers low-income households a £150 discount to help with energy bills. The scheme opens for applications between October and March each year, you’ll need to apply directly to your energy supplier.
Winter Fuel Payment
If you’ve reached State Pension age and you're struggling to pay your energy bills, you might be entitled to extra help. Winter Fuel Payment is between £100 and £300 and should be paid to you automatically from November each year.
If you live in England, Wales or Scotland you'll only get the Winter Fuel Payment (worth up to £300) later this year (2024) if:
you’re above State Pension ageOpens in a new window, and
claiming a means-tested benefit like Pension Credit or Universal Credit.
Use our Benefits calculator to quickly check if you're eligible for any benefits or grants.
It’s not clear yet if the fuel payment will change in Northern Ireland.
We’ll update this guide when more information is available.
Household Support Fund
If you’re on a low income and need help with the cost of essentials, the Household Support Fund might be able to help.
You need to apply through your local council.
Support is awarded on a case-by-case basis and could include:
- essentials linked to keeping warm and clean, such as period products, warm clothing, blankets or soap
- providing appliances, such as fridges, freezers, ovens or slow cookers
- help to install energy efficiency measures or insulation
- help with broadband or phone bills
- essential transport costs, such as car repair or paying for petrol
- food vouchers for families during the school holidays.
There are separate schemes available if you’re living in Scotland, Wales or Northern Ireland:
If you live in Scotland, find out more about the Scottish Welfare FundOpens in a new window on the Scottish Government website.
If you live in Wales, find out more about the Discretionary Assistance FundOpens in a new window on the Welsh Government website.
If you live in Northern Ireland, find out more about changes to the Social FundOpens in a new window at nidirect.
Are you paying too much Council Tax?
According to MoneySavingExpert, hundreds of thousands of homes are in the wrong Council Tax band. So it’s worth making sure you’re not being overcharged.
It shouldn’t take more than ten minutes to find out. And you might end up saving hundreds of pounds and getting a rebate.
If you’re getting certain benefits, you might be entitled to a Council Tax Reduction.
Also check whether you qualify for a discount of up to 50% off your Council Tax bill, if you:
- live alone
- live only with children under 18, or
- are in other special circumstances.
Find out more in our full Council Tax guide.
Cut the cost of driving and public transport
Whether you drive or use public transport, travel costs probably make up a lot of your monthly spend.
But there are plenty of ways to cut travel costs. These include:
- finding cheaper car insurance
- buying cheaper fuel
- booking train tickets in advance.
Find out more in our guide Cut down on car and travel costs.
Pay your bills on time
Late payment fees can wipe out savings, so it’s important to pay your bills on time.
Here are some tips to help stay on top of your bills:
- pay for regular bills monthly by Direct Debit
- talk to the people you owe money to if you’re struggling.
If you’re facing higher living costs, find out about extra sources of income and support in our section Help with the cost of living.
Find out more in our guides:
