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Half a million more households are entering winter in debt to their energy provider this year when compared to 2020, according to research from comparison firm Uswitch.
Senior Journalist, covering the Credit Strategy and Turnaround, Restructuring & Insolvency News brands.
More than three million households will enter winter owing money to their energy supplier, with an average debt of £153 - this is almost one million more than the figure recorded in 2019. Overall, households owe suppliers £510m - a rise of £77m when compared to 2020 - with many feeling additional pressures caused by the rising cost of energy.
In addition to this, 59% of consumers were worried about how they’re going to pay for energy bills, with 17% saying they will avoid putting the heating on just to keep energy bills down.
Entering the winter period, energy accounts should ideally be in credit and this is the case for 13.9 million households - although the number of people in this position has fallen by four percent when compared to last year.
Of those in debt, 62% say their debt is higher or the same as it was last year, while 13% say the amount they owe is lower.
Commenting on the news, Uswitch’s energy policy expert Justina Miltienyte said: “No customer should have to choose between heating or eating and it’s alarming that many households are facing that decision this winter.”
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