Energy & Utility Bill Arrears
Energy and water bills have risen sharply and arrears are increasingly common. Energy debt is a priority because suppliers can fit prepayment meters; water companies cannot disconnect but can take court action.
Energy arrears – what suppliers can do
Suppliers must offer an affordable repayment plan based on your ability to pay before taking further action. They can apply to install a prepayment meter (with tighter rules since 2023 protecting vulnerable households), seek a warrant to enter, or pass the debt to collectors. Disconnection of domestic supply is now extremely rare.
Help available for energy debt
- Supplier hardship funds and grants (for example British Gas Energy Trust, which is open to any supplier's customers)
- Warm Home Discount and Priority Services Register for eligible households
- Fuel Direct – deductions from certain benefits to pay arrears and ongoing usage
- Breathing Space – a 60-day pause on interest and enforcement arranged through a debt adviser
Water bill arrears
Water companies cannot disconnect households but can obtain a County Court Judgment. Most offer social tariffs, WaterSure for metered households with high essential use, and arrears-matching schemes where the company writes off part of the debt as you repay.
Including utility arrears in a debt solution
Arrears owed to a previous or current supplier can be included in a DRO, IVA, bankruptcy or a DMP budget. Ongoing usage must still be paid.
Frequently asked questions
Can an energy supplier force a prepayment meter?
Only with a warrant, and since 2023 not for households with very young children, people over 75, or those with serious medical conditions without additional safeguards. Suppliers must have tried to agree a repayment plan first.
Can water companies cut me off?
No. Disconnection of domestic water supply for non-payment has been illegal since 1999.
How far back can an energy supplier bill me?
Under the back-billing rules, suppliers cannot charge for energy used more than 12 months ago if they failed to bill you correctly.
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