The amount of money owed to energy suppliers by customers has increased to a new record high of £4.4bn, according to new figures released by the regulator Ofgem.
The regulator has revealed that the level of energy debt and arrears in England, Wales and Scotland had risen by more than £750m compared with a year earlier.
The data, which covers the period from April to June 2025, shows that more than one million households have no arrangement to repay their debt, also a record high.
The level of debt to energy suppliers has increased sharply since the rising price of domestic gas and electricity, allied with the damaging effects of Covid, pushed many households into financial difficulty in recent years.
Energy prices may be lower than their peak a few years ago, but they remain damagingly high for millions of people in the UK. Some customers struggle to pay their bills now, and that is even before they look to repay unpaid bills from previous months and years.
There are millions of UK households, many of them social homes, who are classed as ‘fuel poor’.
Fuel poverty relates to properties that must spend a high proportion of their household income to keep their home at a reasonable temperature. Fuel poverty is affected by three key factors: a household’s income, their fuel costs, and their energy consumption (which can clearly be affected by the energy efficiency of the dwelling).
With the war against fuel poverty showing no real signs of being won, the drive to help households reduce their energy bills through quality retrofit of their homes needs to be revved up. Fast!
Through our whole-house service offering, Westdale is committed to helping as many people and communities as possible cut down on their energy bills, while improving their property’s energy efficiency.
An inviting, energy efficient and sustainable home can play a critical role in people’s mental health and wellbeing.
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