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Most people who have fallen behind on their household bills are unaware that discounted deals are available, a major report has suggested, as water, broadband and phone companies stand ready to cut costs for millions on benefits.
“Most people who have fallen behind on bills are unaware cheaper social tariffs are available for water, broadband and phone.”
Social tariffs – sometimes called essential or basic tariffs – can reduce bills for those receiving universal credit, pension credit or other benefits. But they are not price promotions designed to attract customers; they are lower bills for the same service for those who would otherwise struggle to pay, with the cost of the discount often covered by higher charges for everyone else.
Getting on to a social tariff requires contacting the supplier and providing some proof, such as details of benefits received. The process does not take long, the BBC’s cost of living correspondent Kevin Peachey reports.
For broadband and phone contracts, regulator Ofcom maintains a list of social tariffs offered by suppliers. If a customer’s tariff is on that list and they are eligible, they can switch free of charge and leave the contract without penalty.
For water bills, every supplier in England and Wales has a social tariff, though eligibility and the level of support vary. The consumer group for water customers has a list to help people check. Scottish Water does not offer a social tariff, but other options are available. In Northern Ireland, people are helped through the Community Care Register.
Social tariffs are not available on household gas and electricity bills despite pressure from some, including regulator Ofgem, for their introduction. Instead, suppliers offer a range of support schemes for those struggling to pay, but the trade body Energy UK stresses that companies can often only help if customers contact their supplier to say they cannot pay.
Free debt charities such as Citizens Advice can provide independent advice. But people are warned to be alert to scams: criminals may send official-looking messages or emails, and no one should reply to unsolicited contact.