Fear of energy bills forces 1.4 million pensioners to rely on just one cooked meal a day to stay out of debt
1.4 million (23%) of over 65-year olds in households with an annual income of £30,000 rely on just one cooked meal a day to stay out of debt
2.4 million (40%) keep lights turned off, while in the house at night, to keep down their energy bills
1.2 million people (19%) struggle to pay energy bills during the winter**** with the average owed of those in debt to suppliers standing at £120****
One in ten (9%) don’t receive the Winter Fuel Allowance even though they may be eligible****
A quarter (25%) have stayed with their energy supplier for at least 11 years****.
1.4 million pensioners who have a household income of £30,000 or less rely on just one cooked meal a day to stay out of debt****, according to new data from Uswitch.com, the price comparison and switching service.
One in five, or 1.2 million people, are struggling to pay their energy bills over the winter months. Two in five (40%), or 2.4 million keep lights turned off, while in the house at night, the data shows, while two in five (40%) report they are only able to pay bills if they make spending cutbacks in other areas.
Three quarters (75%) admit they have taken some kind of action to reduce their energy bills, including keeping internal doors closed (59%), only heating one room at a time (16%) and wearing a jumper or coat in bed (11%).
Some of these bill payers could be saving on their energy bills, with just under one in ten (9%) reporting that they do not receive the Winter Fuel Allowance. Over three quarters (77%) of those who don’t receive it say they don’t think they’re eligible for the benefit.
However, the vast majority of over 65 year-olds are entitled to the payment and should receive it automatically – indicating a potential knowledge gap amongst some pensioners about what benefits they should already be receiving.
Meanwhile, a quarter of those surveyed (25%) said they had been with the same energy supplier for at least 11 years and a third (29%) said they were on a Standard Variable Tariff, meaning they could be paying almost £400 a year more than they need to.
Sarah Broomfield, energy expert at Uswitch.com, says: “It’s really concerning to discover that so many elderly people are struggling to stay out of debt and keep warm over the winter.
“No one should have to limit how many hot meals they eat every day, or keep their homes dark at night because they’re so worried about their energy bills that they’re put off turning the lights on at night.
“If people are meant to be automatically enrolled to receive benefits, it’s really important that they know what they’re entitled to – that way they can check if they don’t think they’ve been receiving the support they’re due.
“It’s also vital to understand that loyalty to energy suppliers will only ever leave people over-paying by hundreds of pounds a year on a poor-value Standard Variable Tariffs.”
Uswitch has put together the following advice for those who are struggling with their bills:
Investigate grants you might be eligible for to help pay your energy bills or insulate your property, including the £140 Warm Home Discount, the Winter Fuel Allowance and Cold Weather Payment. You can check whether you may be eligible for help with bills using the Uswitch energy help tool.
Sign up to the Priority Services Register (PSR), a free service provided by suppliers and network operators for people with additional needs, offering benefits such as advance notice of planned power cuts, priority support in an emergency, or help with communication about bills.
See if you could pay less by switching away from a Standard Variable Tariff by using our using new Price Cap Gap tool – you could save nearly £400 on your annual energy bills
Follow these simple steps around the home to help you save money on energy bills.
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Tim Dunford
Phone: 020 3872 5612
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Email: tim.dunford@uswitch.com
Twitter: @uswitchPR
Notes to editors
Research conducted online by Opinium between 13-23 January 2020, among 2,006 UK adults aged 65+ responsible for energy bills, with a household income of £30k or less. Weighted to be nationally representative. The full new State Pension is currently £168.60 a week (£8,767.20 per year). Source: Gov.UK. The current state pension age is 65 years, rising to 66 years from October 2020. Source: Gov.UK The average income of all pensioners in 2017/18 (after deductions such as taxes and housing costs) was £304 a week or £15,808 per year. Source: Department for Work and Pensions In 2018, 18.3% of a total UK population of 66,435,550 was aged 65+ = 12.2 million people over 65. Source: ONS According to nationally weighted survey data from Opinium of 2,001 people from 18-21 February 2020, 50.4% of over 65s have a household income of £30,000 or less. 50.4% of 12.2 million people = 6.1 million people.
When asked “Have you done any of the following to save money on energy bills”, 23% answered they rely on just one cooked meal a day, 59% answered they keep internal doors closed, 16% answered only heat one room at a time, 11% answered they go to bed wearing a jumper/coat. 23% of 6.1 million people = 1.4 million people.
When asked “Have you done any of the following to save money on energy bills”, 40% answered ‘kept the lights turned off while in the house at night’. 40% of 6.1 million people = 2.4 million people.
When asked “How do you feel about paying energy bills over the winter months”, the net response of those struggling to pay heating bills was 19%. 19% of 6.1 million people = 1.2 million people.
When those in debt were asked “How much are you in debt to your energy supplier’ the average amount was £119.60
When asked “Do you receive the Winter Fuel Allowance”, 9% answered “No”
When asked, “When was the last time you switched energy supplier”, 26% gave responses of 11 years or more.
When asked "How do you feel about paying your energy bills during winter months" 40% of respondents answered "I can afford to pay but have to cut back my spending in other areas"
When asked “Have you ever done anything to save money on energy bills?” 25% answered 'I have never done anything to save money on energy bills”
When asked “Why do you not receive the Winter Fuel Allowance”, 77% answered “I do not think I am eligible”
When asked “What energy tariff are you currently on”, 29% answered they are on a Standard Variable Tariff
Current price cap on Standard Variable Tariffs = £1179/year (source: Ofgem). Cheapest deal on market = £785/year (Utility Point, Just Up 20 Wk06 Direct. Source: Uswitch.com). £1179 - £785 = £394. Prices assume a household with medium annual consumption on a dual-fuel tariff, paying by monthly direct debit. Data correct as at 21/2/2020.
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