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UK household energy debts up 43%

The total energy debt weighing down UK households has hit another historic high, according to new analysis by campaigning group Debt Justice.

The analysis, based on the latest data from the energy regulator Ofgem, reveals that total debt owed by households grew by 43% to £2.5 billion in the 12 months to October 2022.

The figures show that energy debts are already burdening households to an unprecedented degree as cold weather hits the UK and the cost of living crisis snowballs.

Despite government intervention, average energy prices have nearly doubled in six months to £2,500 and are due to rise to £3,000 in April 2023.

“Households were already facing a mountain of energy debt before this winter hit and 2023 will see more of the fallout from unaffordable energy bills.

Energy companies that have profited from record energy prices and government subsidy should be taking on much greater responsibility for tackling this debt pile.

The government need to halt court mandated installation of Pre-Pay Meters and strengthen the rights and protections for people in energy debt.

Joe Cox, Senior Policy Officer

Calculations based on Q3 2022 Ofgem figures available at https://www.ofgem.gov.uk/energy-data-and-research/data-portal/all-available-charts

  • 1,378,079 customers have now agreed a plan with their supplier to repay electricity debt. They have an average debt of £391.
  • 1,151,767 customers have now agreed a plan with their supplier to repay gas debt. They have an average debt of £316. 
  • 946,525 electricity customers are in arrears with an average debt of £1,036. A customer is in arrears if they have not paid a bill for longer than 91 days/13 weeks, and there is no formal arrangement to repay the debt.  
  • 758,809 gas customers are in arrears and have an average debt of £807.

Figures below adjusted for inflation to allow for more accurate historical comparison.

Total Energy Arrears Adjusted for Inflation

Electricity Total ArrearsGas Total ArrearsTotal Energy ArrearsCPIH index 2015 = 100Total (Real 2022 Prices)Quarterly  comparison
Q3 2012£496,282,694£447,027,635£943,310,32996.1£1,195,579,585 
Q4 2012£474,874,411£421,075,069£895,949,48097.0£1,125,016,976-5.9%
Q1 2013£521,066,822£479,867,700£1,000,934,52297.4£1,251,681,97911.3%
Q2 2013£561,682,530£560,108,917£1,121,791,44798.1£1,392,805,28311.3%
Q3 2013£568,917,620£560,078,438£1,128,996,05898.4£1,397,476,8280.3%
Q4 2013£547,428,462£509,813,364£1,057,241,82698.9£1,302,043,017-6.8%
Q1 2014£543,133,514£493,814,126£1,036,947,64099.0£1,275,759,824-2.0%
Q2 2014£584,066,889£532,169,472£1,116,236,36199.7£1,363,666,8886.9%
Q3 2014£594,914,029£525,935,032£1,120,849,06199.8£1,367,930,0160.3%
Q4 2014£584,070,849£532,171,917£1,116,242,766100.0£1,359,583,689-0.6%
Q1 2015£567,130,716£483,521,618£1,050,652,33499.4£1,287,419,057-5.3%
Q2 2015£593,533,797£523,911,385£1,117,445,182100.0£1,361,048,2325.7%
Q3 2015£588,603,067£504,432,184£1,093,035,251100.2£1,328,659,616-2.4%
Q4 2015£568,933,461£464,570,552£1,033,504,013100.4£1,253,792,717-5.6%
Q1 2016£573,641,708£464,889,896£1,038,531,604100.1£1,263,667,8260.8%
Q2 2016£591,413,389£483,838,584£1,075,251,973100.8£1,299,262,8012.8%
Q3 2016£597,451,177£469,626,420£1,067,077,597101.2£1,284,289,045-1.2%
Q4 2016£580,629,195£434,750,120£1,015,379,315101.9£1,213,672,233-5.5%
Q1 2017£587,190,579£442,008,218£1,029,198,797102.3£1,225,380,3861.0%
Q2 2017£620,589,880£467,980,517£1,088,570,397103.4£1,282,281,1834.6%
Q3 2017£616,728,042£455,970,377£1,072,698,419103.9£1,257,504,018-1.9%
Q4 2017£619,021,892£446,234,861£1,065,256,753104.7£1,239,238,515-1.5%
Q1 2018£638,682,502£448,088,822£1,086,771,324104.8£1,263,060,5651.9%
Q2 2018£680,404,064£488,783,117£1,169,187,181105.8£1,346,001,8786.6%
Q3 2018£698,268,248£496,460,348£1,194,728,596106.3£1,368,936,4351.7%
Q4 2018£683,495,265£458,948,092£1,142,443,357106.9£1,301,680,083-4.9%
Q1 2019£734,453,056£490,667,290£1,225,120,346106.7£1,398,497,2657.4%
Q2 2019£799,294,540£541,279,112£1,340,573,652107.8£1,514,674,1268.3%
Q3 2019£811,257,757£526,235,312£1,337,493,069108.2£1,505,606,800-0.6%
Q4 2019£792,896,640£500,487,193£1,293,383,833108.4£1,453,267,074-3.5%
Q1 2020£798,051,606£517,730,656£1,315,782,262108.5£1,477,071,7011.6%
Q2 2020£910,825,023£594,623,922£1,505,448,945108.7£1,686,878,39514.2%
Q3 2020£949,980,770£599,839,514£1,549,820,284109.1£1,730,230,1612.6%
Q4 2020£898,623,018£553,483,478£1,452,106,496109.3£1,618,175,400-6.5%
Q1 2021£923,180,958£616,542,179£1,539,723,137109.5£1,712,678,3395.8%
Q2 2021£1,016,640,834£651,716,603£1,668,357,437110.9£1,832,334,8597.0%
Q3 2021£1,073,129,116£677,977,468£1,751,106,584112.0£1,904,328,4103.9%
Q4 2021£1,118,197,705£673,675,163£1,791,872,868114.1£1,912,796,8040.4%
Q1 2022£1,258,206,299£867,708,970£2,125,915,269115.5£2,241,874,28417.2%
Q2 2022£1,461,118,402£933,284,087£2,394,402,489119.7£2,436,409,5508.7%
Q3 2022£1,519,428,789£976,317,235£2,495,746,024121.8£2,495,746,0242.4%
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