A new report from the National Audit Office (NAO) has revealed that millions of households may be missing out on financial support for essential services such as water, energy, and broadband bills. The public spending watchdog found that awareness of help schemes remains low, even as debt levels among struggling households continue to climb.
Rising Debt and Low Awareness
The report highlights that debt owed to energy companies has more than doubled since 2021. Despite this, many people who could benefit from discounted tariffs and support schemes are unaware of their existence. Researchers discovered that only around one-third of eligible broadband customers and 39% of eligible water customers know about social tariffs, which offer reduced bills for those on low incomes or receiving certain benefits.
Regulators Urged to Act
The NAO examined how regulators support vulnerable consumers and found that while protections have been strengthened in recent years, more needs to be done to ensure people know what help is available. The watchdog is urging regulators to increase awareness of social tariffs, repayment plans, and other forms of financial support. It also called for improvements in identifying and assisting vulnerable customers.
Gareth Davies, head of the National Audit Office, stated: "Regulators have made progress to support consumers, but they're not keeping up with the pressure now facing millions of households. With debt rising sharply, it's more important than ever to make regulation work so that people know what support is available and can contact essential providers when they need to."
Available Support Schemes
People struggling with household bills may be able to access support through broadband and water social tariffs, energy repayment plans, and Priority Services Registers, which provide additional help for customers who need extra assistance. The NAO emphasized that regulators and providers should do more to remove barriers that contribute to rising debt.
Additional Financial Help
Many households could also benefit from unclaimed benefits or discounts on Council Tax. Using a free, confidential benefits calculator could ease financial pressure. For instance, the Council Tax Reduction scheme in Scotland can save up to £900 a year. Older people on a low income may be entitled to Pension Credit, worth an average of £4,300 per year, yet 760,000 eligible people are not claiming it.
How to Check Eligibility
Individuals can check their eligibility for Pension Credit using the online calculator on GOV.UK or by calling the Pension Credit helpline at 0800 99 1234. Expert help is also available from organizations such as Independent Age, Income Max, Citizens Advice, and Age UK.
People under State Pension age with health conditions may qualify for Adult Disability Payment or Personal Independence Payment (PIP), worth between £30.30 and £194.60 per week. Those over State Pension age could claim Pension Age Disability Payment or Attendance Allowance, worth up to £114.60 per week.
Who Should Check for Unclaimed Benefits?
It is advisable to check for unclaimed benefits if you are temporarily unable to work, on a low income, over State Pension age, made redundant, looking for work, raising a family, caring for someone, or have a disability or health condition. An online benefits calculator can quickly determine potential entitlements.
Resources such as Advice Direct Scotland, Turn2us, Entitledto, and Policy in Practice offer free and impartial assessments. Before starting, gather information on savings, income, existing benefits, pensions, outgoings, and your latest Council Tax bill.
