Home is where the savings are
The rise in energy prices has hit us all in the pocket. Since the crisis started in 2021, bills have doubled - or more - for pretty much every household. So, we’ve asked the nation some questions to find out how Brits have been coping.
To help you make your money go further, we’ve pulled together a bunch of energy efficient appliances and cost-cutting hacks. Check out the rooms below to find out how you can save yourself some cash.
The energy crisis - who is feeling the pinch?
It’s been about two years since the bottom fell out of the energy industry and our bills started to go up and up. If we’d been told back in the summer of 2021 how much we’d be paying for our utilities now, we wouldn’t have believed it. In fact, most of us probably still can’t believe it! Sadly though, it’s true. But who is really affected the most? Are some people feeling it more than others? To find out, we asked 2,000 UK residents about disposable income. It’s a great way to see how people living in Britain - and the UK economy - are doing. For starters, our survey revealed that 1 in 5 of us are paying £51-£100 more a month on energy bills.
Overall, 69% of Brits agreed that energy prices have affected their disposable income. But that’s not the story across the whole country, with the South West - facing some of the "most profound social and educational divides in the country" - suffering way more than areas like the East of England and Greater London.
Where you live isn’t the only factor though. If you have any extra financial stresses like a mortgage, kids under 18, or live in social housing, you’re probably feeling the increases even more too.
How energy price rises have impacted us
69%
of people have made changes at home to cut costs
66%
of people are worried about heating costs this winter
46%
of people agree their mental health has been impacted
Brits making changes in their home to cut down on energy costs
We all like to feel in control of stressful situations - and let’s be honest, it’s hard not to be stressed at energy bills right now. Taking action can be a great way to gain some agency. That’s why 63% of us have been making changes at home to cut down on our energy use. The most popular changes are using appliances less, doing laundry at lower temperatures, and turning down the thermostat. Yes, they’re small changes but ones that can add up to big savings over time.
Forking out for new appliances might not seem like a good idea - you’re trying to save money not spend it, right? - but it’s a smart move if you can afford it. 31% of Brits have switched appliances for more energy efficient ones and they’ll be seeing the benefits for years to come. For example, an old D rated fridge freezer might use 408 kWh per year, whereas a new A rated model might use about half that. So, it’s worth doing if you’ve got the spare change.
Making changes at home can seem a bit overwhelming if you don’t know where to start. 39% of those surveyed want to make changes but don’t know what changes they can make. And that’s why we’re here to help!
Food is the nation’s biggest lifestyle sacrifice
Sacrificing things we love so we can heat our homes sucks. But sadly, that’s the way it is for more than half of us, with 57% admitting to making lifestyle sacrifices to afford their bills. So, what have we been cutting back on? We’re buying less clothes and treats likes jewellery, bags, and games, and socialising less. But our biggest sacrifice is food.
With the average UK household spending £1,744 a year at restaurants and on takeaways, there’s definitely some savings to be made here. 68% of the nation are choosing to eat out less and 63% are cutting down on takeaways. Add in the 54% who are going for non-branded groceries, and that’s a lot of food sacrifice.
Unfortunately, loneliness can be part of all this sacrifice. Those in older generations (45-54 and 55+) are more likely to give up eating out and socialising than younger people. And this can really make the feeling of loneliness worse. Which is something that many of the elderly in the UK feel. Loneliness can have a big impact on a person’s wellbeing and is thought to be as bad for you as smoking 15 cigarettes a day.
Heating our homes is a big worry
There’s no two ways about it, heating is expensive at the moment. And with winter just round the corner, it’s no surprise that us Brits are concerned, with 65% of us choosing energy/heating as the living cost we’re most worried about.
According to the Met Office, in winter your home should be heated to a temperature of at least 18°C.6 But 20% of our respondents won’t turn their heating on until the temperature drops to 15 or 16°C, and 18% won’t turn on the heating at all. Considering the temperature can often drop below 0°C in the winter, it’s pretty worrying that so many people will suffer because they can’t afford their energy bills.
What’s really alarming is that the group that’s most likely to turn down their thermostat is those aged 55+. The elderly are more likely to really feel the cold, and long periods can have long-lasting impacts. This finding backs up the data from the Office for National Statistics that show older generations are being particularly affected by the cost-of-living crisis.
Women have been hit harder than men
It seems to be a recurring theme in our data that women are more affected by the energy price rises than men. Their disposable income has been squeezed more and their mental health impacted more.
So why is that? It could be down to the fact that women hold 69% of low-paid and insecure jobs, and are more likely to be in part-time work. In 2022, the gender pay gap - the difference between men’s and women’s average hourly pay - was about £1.44 per hour, which might not sound like a lot, but if you’re working 40 hour weeks, that adds up to nearly £3000 a year. This all makes it harder for women to make ends meet and means they’re more likely to fall into poverty.
As women tend to take on more of the home management, it’s not surprising that when it comes to action, they’re doing more too. 69% of women have made changes at home, compared to 56% of men. Interestingly, one of the biggest differences is in the clothes they’re buying, with 71% of women saying they’ve reduced their spending on clothes vs only 48% of men.
