Follow these steps to work out what you need to do
Review your energy costs
Energy prices are currently very high. Many people are looking to find a cheaper deal, but it’s likely your supplier’s standard default tariff rate set at the energy price cap by regulator Ofgem will be the cheapest rate available.
The Energy Price Guarantee is now £2,500 a year for a household with typical usage and will be held at that level until 2024.
You could pay more or less than this, depending on how much energy you use. However, this doesn't take into account the energy support already announced.
Energy bills support scheme
Domestic energy customers will get £400 off their energy bills from October 2022. The £400 will be paid from October to March 2023 in monthly instalments of £66 or £67 for people living in England, Wales and Scotland. The £400 discount will also be available to people in Northern Ireland but how it will be paid is still to be agreed.
If you pay your bills by Direct Debit or credit, the money will be credited to your account. If you have a pre-payment meter, the money will be either added to your meter or you’ll get a voucher to use for top-ups.
Need help keeping your energy costs down? Find out what your supplier can do and the extra support available in our guide Help if you’re struggling to pay your gas and electricity bill
If you use oil, liquefied petroleum gas (LPG) or solid fuels
Unlike gas and electricity, there’s no price cap to help control the cost of these types of fuel.Use this checklist to help keep costs down.
- Compare prices and don’t be afraid to haggle.
- Consider joining or setting up an oil club to get further discounts.
- Ask about flexible payment options.
- Buy in the warmer months.
- Keep your tank well-maintained.
- Install an efficient boiler.
- Claim grants to improve the energy efficiency of your home.
- Claim benefits to help pay for energy bills.
- The government has promised £100 of support for people who use these types of fuel and details of how the voucher or payment will be sent to you should be available soon.
- Qualifying households in Wales can claim a one-off £200 payment towards energy bills with the Wales fuel support scheme.
Also remember to claim all the benefits you’re entitled to (especially Pension Credit or Universal Credit) because these will passport you to further help, includingWarm Home Discount worth £150 a yearor a £150 cost of living disability payment if you have extra health needs.
Our guide Help if you heat your home using heating oil or liquefied petroleum gas has more information.
Apply for energy efficiency grants
If you want to cut your power bills, you can go green and reduce the amount of energy you use. You might be able to get help towards the costs.
If you have an Energy Performance Certificate (EPC), you could get personalised advice to improve your home’s energy efficiency using theSimple Energy Advice calculatorOpens in a new window
Enter your postcode into the calculator to find out how much money you could save by installing further energy efficiency measures.
The calculator will give recommendations based on who lives in the house, how often you’re at home and what you’ve done already to save energy.
Some of the switches are really easy. For example, you could save 10% on your heating costs by just turning down the thermostat by one degree.
Check what energy-saving grants you could get on the Simply Energy Advice websiteOpens in a new window
Find out more about schemes available in Scotland, Northern Ireland and Wales, in our guide How to pay for home improvements
If you live in Northern Ireland, you can find lots of information on housing help, grants available and how to applyOpens in a new window on the Northern Ireland Housing Executive website
Switch to a smart water meter
Usually, the bigger your home and the fewer people that live in it, the more likely you are to save money with a water meter.
To see if it’s right for you, you can use the water usage calculatorOpens in a new window on the Consumer Council for Water website. If it is right, your meter will be installed for free if you live in England or Wales. (Check with your water company if you live in Scotland). There are no water charges in Northern Ireland.You can also ask to switch if you’re renting.
A water meter might not be right for you if you have certain medical conditions. Contact your water supplier to see if you can sign up to the Priority service register. After you’ve signed up, they’ll be able to offer you extra help if you are struggling with bills but can’t get a water meter.
If your water supplier can’t provide you with a water meter because it’s too difficult or expensive to install, they have to offer you an alternative, so you don’t lose out.
This alternative is called an Assessed Charge. You can find out more about Assessed ChargesOpens in a new window on the Consumer Council for Water website.
If you’re on a water meter you can reduce your bill further by saving water. Check the Consumer Council for Water website and find your water company for tips and free water-saving gadgetsOpens in a new window
Find out more in our guide How to switch to a water meter
Ways to spend less on fuel costs
Fuel costs are currently very high if you rely on a vehicle as your main type of transport. You can’t do much about the cost of petrol at the pumps, but you can reduce your spend by cutting back how much you use.
Some tricks include keeping windows shut to increase aerodynamics, or driving more slowly, which can help fuel consumption.
Driving more efficiently can help keep costs down. The Money Saving Expert websiteOpens in a new window has a step-by-step guide on how you can do that.
Ways to spend less on food
Food bills are the biggest expense for many people after covering their rent or mortgage.
There are lots of websites that can help you reduce food shopping bills. Here are some of the most popular ones:
Use a food bank if you’re facing an emergency
If you have no money to pay for food, you might be able to use a food bank. You usually can’t go directly to a food bank. Most will ask you to get a referral voucher from an organisation in your community first. Places where you can get a food bank voucher include:
- Citizens Advice
- Your local council
- GP or health visitor
- Support worker
- Social worker
- Children’s Centre
- Police.
If you think you need to use a food bank, follow these steps:
- Search online for food banks in your area and which local community organisations can organise a voucher for you.
- Or go direct to one of referral organisations listed above to see if they can give you a voucher and tell you where your nearest foodbank is.
- When you arrive at the referral organisation, they’ll ask for some basic information to find out your needs and check if you can get a voucher.
- If you qualify, the referral organisation will give you a voucher to take to the foodbank to exchange for food.
- If you need to use a food bank again, you’ll usually need to get another referral.
Search online using The Trussell Trust’s Find a food bank toolOpens in a new window
Help with phone and broadband costs
Phone and broadband are essential if you’re job seeking or even just want to find the best deals to help save you money, as online offers are often cheaper, and you can use comparison sites to check tariffs and prices.
To help you stay digitally connected, some providers offer low-cost plans if you’re getting certain income-related benefits, including:
- Universal Credit
- Jobseeker’s Allowance
- Pension Credit
- Employment and Support Allowance.
If you’re looking for work, you can apply through your work coach for a voucher to exchange for free broadband from connectivity provider TalkTalk.
The voucher allows you to get six months of TalkTalk’s Fibre 35 broadband service with no contract or credit check required. Data usage limits are uncapped (within the fair data usage limits).
Find out who offers low-cost tariffs and how providers can help you get on the best plan for your needs in our guide Help if you’re struggling with mobile, TV or broadband bills
Use our Bill prioritiser
Paying your bills on time when money is tight can be very worrying, especially if they’re starting to pile up. It can be hard to know which ones to deal with first.
You may start to feel tempted to put off dealing with them, perhaps because no-one is chasing you for payment now or maybe you’re not sure what will happen if you admit there’s a problem.
However, the consequences of not paying off some bills before others can be more serious. Dealing with things early will help you to avoid problem debt because there is lots of support out there. If you’re struggling to make your repayments on time, you need to look at all your bills and split them into priority and non-priority payments.
So you can get back in control, our easy-to-use Bill prioritiser helps you to understand which ones to deal with first, who can support you and what to do to make sure you don’t miss a payment.
Work out which bills to pay off first using our Bill prioritiser
Find out more about what help you can get to pay for essential things