Rising Concerns as Nearly Two Million Pre-Paid Energy Meter Users Face Winter Disconnection

More than two million households in the United Kingdom are facing the risk of disconnection from their gas and electricity this winter, prompting significant concerns from charity Citizens Advice. The organization has cautioned that some families may struggle to afford to top up their energy meters, leading to recurring disconnections and potential hardship for vulnerable households. Data from 2023 revealed that an alarming 1.7 million people experienced continuous disconnections at least once a month, highlighting the severity of the issue.

A recent report disclosed that 800,000 individuals endured over 24 hours without gas and electricity due to financial constraints, resulting in an inability to prepare hot meals or access essential services such as hot water for bathing. Citizens Advice expressed apprehension after Ofgem approved EDF, Octopus, and Scottish Power to resume mandatory fitting of prepayment meters (PPMs), following a previous ban related to controversial practices.

The charity emphasized the daunting scale of this issue, particularly as winter approaches. Their research indicated that over five million people are living in households with outstanding energy debts, placing them at risk of coercive measures such as debt collection and the imposition of prepayment meters. A quarter of respondents disclosed their inability to cover essential bills, with one in ten households resorting to borrowing money to settle their utility expenses within the last six months.

Furthermore, half of those in arrears with their energy providers resorted to turning off their heating systems, while close to three million individuals had to compromise on meals, food spending, or even sell possessions to afford meter top-ups. This precarious situation illustrates the urgent need for intervention and support for these vulnerable families.

Citizens Advice urged immediate reform of the warm home discount scheme, which has struggled to keep pace with the escalating cost of living and should be expanded to accommodate a broader range of households. Moreover, the charity called for collaborative action between the government and Ofgem to devise a comprehensive plan to address energy debt, along with increased funding for support services in anticipation of mounting demand.

Dame Clare Moriarty, chief executive of Citizens Advice, expressed deep concern for households with young children, who faced a higher risk of disconnection due to financial difficulties. The charity’s research revealed that households with children under four were twice as likely to experience disconnections compared to those without young children, reflecting the severity of the situation.

In response to these escalating concerns, Ofgem asserted its alignment with the apprehensions raised by Citizens Advice and reaffirmed its commitment to working closely with consumer groups to address the challenges faced by struggling customers. A spokesman for the Department for Energy Security and Net Zero outlined the government’s endeavour to support households amidst the cost-of-living challenges, highlighting various financial assistance schemes and encouragements for individuals facing difficulties with their energy bills.

In conclusion, the impending disconnections faced by nearly two million pre-paid energy meter users adds to the mounting concerns over energy affordability and vulnerability. As we enter the winter months, urgent action and comprehensive support are imperative to avert a potential crisis and protect the well-being of these households.