Monday, 07 September 2026
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COST OF LIVING

Millions missing out on cheaper water and broadband deals as bill debt soars

Millions missing out on cheaper water and broadband deals as bill debt soars
Photo: bbc.com

Households across the UK are falling deeper into arrears on essential bills while most have no idea that cheaper, means-tested deals already exist that could take the edge off, a new report has found.

According to the BBC, the spending watchdog has warned that the majority of billpayers are completely unaware of social tariffs offered by water companies and major broadband providers. These discounted plans are designed for people on low incomes or claiming benefits, yet take-up remains stubbornly low.

Social tariffs can knock a chunk off monthly costs for those who qualify. Cheaper water deals are run by every regional supplier in England and Wales, while firms including BT, Sky, Virgin Media and Vodafone offer reduced broadband packages, often around £15 to £20 a month for households on Universal Credit and other qualifying benefits.

The watchdog says the gap between what is available and what is being claimed is large enough to matter. Many families are stretching budgets to cover standard rates when they could be paying a fraction of the price, leaving them more exposed when other costs climb.

Bill debt has been climbing sharply. Citizens Advice and Ofwat have both flagged rising water arrears in recent months, and broadband non-payment has also crept up as the cost of living squeeze drags on. Providers are not legally required to advertise their cheaper deals on the front page of their websites, which campaigners say is part of the problem.

Charities are calling for a more joined-up approach, including automatic enrolment for people already known to the benefits system. The idea is that anyone on Universal Credit, Pension Credit or income-based ESA could be flagged and offered a cheaper tariff without having to hunt for it themselves.

Anyone struggling can check their water company's website for a social tariff or WaterSure scheme, and compare broadband social tariffs on Ofcom's official list. Citizens Advice can also help people work out what they may be entitled to and how to apply.

The watchdog's message is blunt. Help is sitting there for hundreds of thousands of households, but only a fraction know it exists.

Wake Up News covers the money side of British life. Bills, benefits, pensions, tax and the political decisions behind them, written plainly for readers who want to know what it costs them.

Wake Up News covers the money side of British life. Bills, benefits, pensions, tax and the political decisions behind them, written plainly for readers who want to know what it costs them.

Wake Up News covers the money side of British life. Bills, benefits, pensions, tax and the political decisions behind them, written plainly for readers who want to know what it costs them.

Wake Up News covers the money side of British life. Bills, benefits, pensions, tax and the political decisions behind them, written plainly for readers who want to know what it costs them.

Wake Up News covers the money side of British life. Bills, benefits, pensions, tax and the political decisions behind them, written plainly for readers who want to know what it costs them.

Reported from public sources. Read the original coverage at bbc.com.

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