Many UK households are facing a vulnerable financial position this autumn and winter due to the recent October price cap increase and the winter fuel payment cut to pensioners. Some customers may find themselves struggling to afford their energy bills. Energy bill experts at Bionic have outlined the possible consequences of not paying energy bills and what energy providers can do to assist customers in such situations.
Les Roberts, Business Energy Comparison Expert at Bionic, emphasised the importance of contacting your energy supplier if you are unable to afford your bill. By reaching out to your supplier, you can explore options such as setting up a payment plan. According to official Ofgem rules, energy providers are required to assist customers by offering affordable payment plans. Consumers also have the right to request a bill review, defer payments until they are able to pay, reduce to an affordable rate, receive advice on reducing energy usage, or extend the time between payments.
Furthermore, if customers are in financial hardship, energy providers must make them aware of any available support funds, charitable grants, or government assistance programs that they may be eligible for. For instance, the Cold Weather Payment is one form of support available to individuals of a certain age or on specific benefits when temperatures drop below a certain level. However, if customers fail to pay their bills and accumulate debt, their provider may take action, such as switching them to a prepayment meter which usually incurs higher rates.
It is crucial for consumers to be aware of their rights before such actions are taken. Energy suppliers are obligated to provide at least 28 days to repay any outstanding debts before implementing measures like installing a prepayment meter. Customers facing difficulties in meeting their energy bills should not hesitate to seek assistance from their provider, as there are guidelines in place to protect consumers in these circumstances.
In situations where customers are at risk of disconnection due to non-payment and are unable to reach a resolution with their supplier, it is recommended to escalate the issue by filing a formal complaint. Contacting organizations like Citizens Advice or the Energy Ombudsman can provide additional support and guidance in resolving disputes with energy providers.
Not paying energy bills can have long-term consequences, including a negative impact on one’s credit score, potentially leading to difficulties in accessing credit in the future. Customers in debt may also face challenges when switching energy providers, as outstanding balances can sometimes prevent a smooth transfer. However, if the debt is manageable and meets certain criteria, it may still be possible to switch while repaying the owed amount.
It is essential for consumers to be proactive in seeking support and understanding their rights when facing difficulties with energy bills. By engaging with energy providers and seeking assistance from relevant organizations, individuals can navigate financial challenges more effectively and ensure continued access to essential energy services.