Everything You Must Know About Utility Bills In The UK

Utility Bills

Written by Srishti Jhawar

On a journey to explore everything that can express itself in words or silence. Writing when it’s true leaves an impact on a few, fills your eyes anew, and is pure like a dew! It’s about the story, not you.

October 3, 2022

If you live in the UK and have been there for a while, you know that utility bills can be confusing. But it doesn’t have to be like this! This blog will explain to you what your utility bills mean, how much they cost, and what you can do to save money on them. In the UK, utility bills are a monthly necessity for most households. But how do you know if your bill is too high? And what can you do about it? Having an understanding of your energy consumption and water use is the first step toward finding out if there’s anything you can do to reduce them. In this guide, we’ll explain how to read your bills and give some tips on how to make them more accurate in future so they don’t cost as much! A typical student living off-campus can anticipate paying an average monthly utility bill in the UK of about £40 – £50 per month for electricity, gas, and water. Council tax is another thing to take into account. Student discounts and exemptions are available, but you must apply directly to the neighbourhood council to be qualified. Utility bills in the UK can seem confusing at first, but there are some good tips and tricks to saving money on them even if you’re not an expert.

What Are The Main Types Of Utility Bills?

Utility bills are charges for water, gas, electricity and sometimes sewerage. When you look at your bill from each utility provider it usually breaks down into these four categories:

  • Fixed charges – the fixed amount payable for having access to a service; this amount is usually paid monthly or quarterly in advance and cannot be changed by you as it covers costs such as maintenance of pipes/wires etc., billing staff etc.
  • Standing charge – this is a flat rate charge which applies whenever a customer uses their supply (i.e. turns on their lights). The standing charge may differ depending upon how much energy is used within each billing period so those who use more than others might pay more per unit consumed than those who use less (although most people will find their usage levels fall somewhere between these extremes). The standing charge also helps cover costs such as maintenance of appliances used by customers; labour costs associated with providing meter readings etc., administration fees including call centre support etc.

Gas Bills

Your utility bills will include your gas bills, which are based on usage. With recent increases in costs, it’s more important than ever to keep track of your usage. Gas usage can be measured manually by monitoring how much gas is used in a month (this is known as meter reading) or electronically, through an electronic meter that automatically sends data about your usage to your provider at regular intervals. Most people pay their gas bill every month with automatic debit payments set up between them and their energy supplier. If this is the case for you, make sure you know what date payments are taken out so they don’t bounce because they’re taken too early or late—your bank might charge fees for this! 

Electricity Bills

An electricity bill is based on how much power you use. If you want to save money, turn off lights and other appliances when not in use and use energy-efficient appliances. You can also save money by using a smart meter that helps keep track of your usage so that you don’t overpay for electricity. Keeping a track of your electricity usage by noting the meter number can be useful. The electricity bill can cost you around £75 to £150 per year.   

Water Bills

In England and Wales, the water business has been privatised. In Scotland and Northern Ireland, it is still open to the general public. In the UK, you normally have to use your neighbourhood water provider. In the UK, you can drink tap water, but many people buy filters and softeners to make it better. Each region in the UK has a different water source. In contrast to Scotland, Wales, northern England, and more rural locations, which often have softer water, London, urban areas, and a significant portion of southern England are recognised for having hard water (with a higher concentration of minerals). Even though water firms in the UK have a variety of rates, the government regulates all suppliers to guarantee that customers receive a fair price. The average cost of a water bill in 2019 was about £415 per year or a little under £35 per month, but expenses vary by region and kind of home.

Council Tax Bills

The council tax bill is the second most common bill students receive, after your water bill. It’s a yearly tax based on the value of your property and the number of people living there. Council tax bills are issued by local councils and collected by them too, but there’s no central government regulation of this system—therefore it can vary from borough to borough across England and Wales. The amount you have to pay depends on how much money your local council needs from its residents to fund its services. The price also varies depending on which area you live in; London councils tend to charge more than those in other parts of England because they tend to be more expensive places to live overall.

TV Licence Bill

This is a legal requirement for anyone in the UK who watches TV. This includes watching programmes on any channel and using iPlayer to stream or download programmes. If you’re wondering whether you need a TV Licence if you only stream Netflix or Amazon Prime, it’s still likely that you do. The law doesn’t make a distinction between online services and conventional broadcast channels – if it’s live TV, then a licence is required.

The cost of your license depends on how many rooms in your home have access to television:

  • £150 for up to two rooms
  • £174 for three rooms (including one portable device)
  • £210 for four rooms (including two portable devices)


Hopefully, this guide has helped you understand your utility bills a little better and how to save some cash on them. Remember that the best way to ensure your bills are as low as possible is by switching providers regularly so they can’t keep charging you more than necessary for services. 

Thank you for reading this blog on ‘Everything You Must Know About Utility Bills In The UK!’ If you’d like to read more, here are some blogs that may be of interest to you –

Weigh In The Cheapest Energy Suppliers In The UK

Get A Detailed Insight On Student Loan Interest Rates In The UK

Top Art Universities In The UK – A Guide


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