Energy Bills

Energy bills will remain stubbornly high as the latest Ofgem price cap announcement offers no relief to people in Scotland who are struggling to pay their energy bills, says Citizens Advice Scotland (CAS).

The new price cap announced this morning sees a 4% increase, following a 13% increase announced in May.

New evidence from CAS shows thousands of people across Scotland struggling to pay for the rising cost of energy are also facing barriers when approaching their suppliers for support.

Evidence from across the network from the last quarter (April to June) shows:

• Demand for energy support remained high, with almost 6,000 people seeking help from local CABs across Scotland
• More than 1,100 of these involved poor customer service from suppliers, including issues like communications, billing or metering problems and debt recovery practices
• Deepening energy debt continues, with the average seen by our network at almost £2,700 – 13% higher than the same period two years ago.

CAS Director of Impact David Hilferty says: "Our advisers across Scotland see every day how people are struggling to pay for the essentials, especially as energy bills continue to rise.  Increasing inflation shows that the cost of living is getting worse, we are regularly seeing the brutal reality of people who can’t afford to heat their homes. Many are being pushed into debt to pay for the essentials we all need.

“And as the crisis deepens, poor practices of energy companies is making it harder for people to resolve energy problems. Often, this is the result of failures in customer service and case-handling processes, all of which puts access to support further out of reach. 

"With another winter fast approaching, the time to act is now. We need bold, targeted, and urgent action across the energy sector to make sure that people can afford to heat and light their homes, without which people will experience real harm. The UK government and regulators need to introduce measures like a social tariff on energy bills and a robust energy debt relief scheme.

"Energy suppliers must ensure that their processes are robust, communication is clear and accessible, and staff are properly trained to support people in vulnerable circumstances.”

Olga's experience

Olga (not her real name) was supported by her local CAB after receiving multiple letters from her energy supplier. She has significant literacy difficulties, recently had a stroke, and has been repeatedly admitted to hospital. The letters detailed a debt of £7,500, which Olga had not understood because her supplier had communicated solely through letters, despite having been notified of her additional communication needs. Faced with an unmanageable debt, while experiencing significant health issues, Olga feels overwhelmed and needs her CAB’s support..