As the energy cap continues to rise (the maximum price suppliers can charge consumers) both landlords and tenants will be affected. It is estimated the average household energy bill in October 2022 was over £3,500, a massive rise from an average of £1,971 in April of the same year. The prediction is that with the reviewed cap in January 2023 this could rise even further to £4,600.

Increasing energy bills are likely to cause problems for many tenants in the coming months, which could impact on their ability to pay rent, whilst landlords who pay bills on their tenants’ behalf could also be affected financially as costs increase.

Why have energy costs increased so much?

There has been a steady rise in the cost of gas and electric since the end of 2021. The war in the Ukraine has also affected the supply from Russia and as a result some suppliers have gone out of business. So, the energy regulator Ofgem has been increasing the price cap in the hope of stopping more suppliers going under.

So, how can landlords help their tenants with their energy bills?

1 Install energy efficient appliances and lighting

More energy efficient appliances like white goods could help reduce your tenants’ energy bills. They will also improve the properties Energy Performance Certificate (EPC) rating. An EPC allows you to compare the energy efficiency of different properties easily and needs to be available to potential buyers and renters. An improved EPC rating could help attract potential renters. Although lighting doesn’t make a massive difference to the EPC, one or two points might make the difference between a C or D rating so it’s worth considering. Motion sensors could be installed for outside or communal areas, so lighting is only used when needed -and doesn’t rely on the tenants to be switching it on and off.

2 Install a smart meter

Energy suppliers are responsible for installing a smart meter and it will enable your tenants to track and measure the energy they are using. If as a landlord you are paying the bills, and passing this cost on, then a smart meter will be beneficial for both of you. Providing a meter will help tenants see how they can reduce their bills if required and ensure that they are being charged the right amount, rather than an estimation.

3 Improve insulation and draught-proofing

Keeping the heat in and not losing it through windows, doors and the roof will drastically reduce energy bills. Increased insulation in the walls, in the floors and in the roof will help significantly. Draught excluders around windows and doors, lagging water tanks and pipes, and insulating behind your radiators are also quick ways to reduce your bills.

4 Look for a better energy deal and switch supplier

If you are the account holder you can look for a better deal with a different supplier or encourage your tenants to do so if they pay their bills directly.

5 The Energy Bill Support Scheme

Under the Energy Bill Support Scheme nearly 30 million households across the UK will receive a £400 discount for their energy bills. The discount is split like so – £66 applied to October and November energy bills and £67 discount applied from December to March 2023. Individuals do not need to apply for the discount, it will be delivered according to whether they pay their energy bills via Direct Debit, payment card, or a meter.

If you as a landlord are the account holder you will need to pass that £400 discount on to your tenants in the form of a lower monthly payment. Landlords cannot charge more than the ‘maximum resale price’ and tenants can report them to Ofgem if they feel they are being over charged.

If you are a landlord looking to improve energy efficiency in your properties, or for electrical repair or maintenance in general, then please give us a call on 01865 803017 or email We are happy to talk through all your options to see where improvements can be made.

Contact us today for a free, no obligation quote or call out