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How to Reduce Your Energy Bills in the UK: Practical Tips That Actually Work

  • Writer: Jamie Reid - Credit, Loans & Everyday Money Writer
    Jamie Reid - Credit, Loans & Everyday Money Writer
  • Feb 8
  • 5 min read

Updated: Mar 28

Energy costs have become one of the biggest financial burdens for households across the UK. With fluctuating tariffs and rising living costs, many people are looking for reliable, long-term ways to reduce their monthly bills.


The good news is, you don’t need expensive tech upgrades or extreme lifestyle changes to see real savings. This guide will walk you through practical and achievable ways to cut your energy costs — whether you rent, own, or live with family.


UK home energy saving tips to cut gas and electricity bills

Why Are UK Energy Bills So High?


Several factors have contributed to rising energy bills:


  • Wholesale gas price volatility

  • Global supply issues

  • Increased demand during colder months

  • Standing charges, which remain high even if usage drops


While the Ofgem energy price cap offers some protection, it doesn’t guarantee low bills — especially if you’re using more energy than necessary.


1. Understand Your Energy Usage


Before you can cut back, you need to know where your energy is going. A smart meter or energy monitor can help break down usage in real time.


Typical high-usage items include:


  • Electric showers and kettles

  • Tumble dryers

  • Heating systems

  • Electric ovens and hobs


Use this information to target the biggest drains first.



Read our guide on How to Save Money Every Day for step-by-step tips.


2. Heat Your Home More Efficiently


Heating accounts for over 50% of the average UK energy bill. Here’s how to make your home warmer without cranking up the thermostat:


Practical Heating Tips:


  • Set your thermostat to 18–20°C in living areas

  • Lower your thermostat by 1°C to save up to £100 per year

  • Use thermostatic radiator valves (TRVs) to control heat room-by-room

  • Bleed radiators for efficiency

  • Close curtains and blinds at night to retain heat

  • Use radiator reflectors on external-facing walls


You can find more tips from the Energy Saving Trust on optimising heating systems.


3. Switch to Energy-Efficient Appliances


Newer appliances often use far less energy than older models — especially when it comes to fridges, freezers, washing machines, and dishwashers.


Appliance Tips:


  • Use eco settings when available

  • Always wash full loads

  • Unplug or switch off at the wall when not in use

  • Choose appliances rated A+++ where possible


While upgrading appliances isn’t always immediate, switching one or two energy guzzlers per year can add up over time.


4. Reduce Standby and Phantom Energy Use


Many appliances continue to draw electricity even when they’re turned “off.”


How to fix this:


  • Use smart plugs or standby savers

  • Unplug phone chargers, toasters, and microwaves when not in use

  • Turn off gaming consoles fully

  • Disable “quick start” features on TVs


The Energy Saving Trust estimates that the average UK home could save £50–£80 per year by eliminating standby power use.


5. Lower Hot Water Costs


Heating water is another major energy expense, especially in electric-only homes.


Money-Saving Moves:


  • Use your boiler timer and only heat water when needed

  • Fit a jacket to your hot water tank

  • Take shorter showers instead of baths

  • Switch to a water-efficient showerhead

  • Turn the boiler thermostat down slightly (not the wall thermostat)


If you have an Economy 7 tariff, try to use your hot water and large appliances during off-peak hours.


6. Improve Insulation Without Renovating


You don’t need a full loft conversion or double glazing to benefit from better insulation.


Quick Fixes:


  • Seal gaps around windows and doors

  • Fit draft excluders on letterboxes, chimneys and internal doors

  • Add thick curtains and rugs to prevent heat loss

  • Use door curtains or thermal blinds


These low-cost solutions can reduce heat loss and make your home more comfortable.


7. Switch Energy Tariffs — Carefully


While the fixed-rate tariff market has been limited, it’s still worth checking whether a better deal is available — especially if your usage is higher than average.


Use an Ofgem-accredited comparison tool like MoneyHelper’s energy switching guide to ensure you’re getting a fair deal.


Before switching, check:


  • Exit fees from your current supplier

  • Whether you’re on Economy 7 or Economy 10

  • Standing charges vs. unit prices


[Link: How to Switch Broadband and Save Money]


8. Tap Into Government Support Schemes


You may be eligible for grants or discounts through schemes such as:


  • The Warm Home Discount

  • The Winter Fuel Payment

  • The Cold Weather Payment

  • Local energy efficiency grants (via your council)


Check Gov.uk for full eligibility and application details.


One Overlooked Tip Most People Miss


Switching your energy supplier isn't the only way to save — switching your payment method can help too.


Paying by monthly direct debit is usually cheaper than quarterly or pre-payment meters. You’ll often get a discount from your supplier and better tariff access. If you're unsure, speak to your supplier or check comparison sites for how different payment methods affect cost.


Frequently Asked Questions


How much can I realistically save on energy bills?


It depends on your usage and actions taken. Small changes (like using TRVs and unplugging devices) can save £100–£300 per year, while switching appliances or tariffs can save more over time.


Are smart meters worth it?


Yes — they give accurate readings, help you track usage, and can alert you to wasteful habits. Plus, they're free from most suppliers.


Should I turn my heating on and off or leave it on low all day?


It’s generally more efficient to use a timer and heat only when needed. Leaving heating on constantly wastes energy unless your home is extremely well insulated.


Can I get help if I’m struggling to pay?


Yes. Speak to your supplier, who may offer payment plans or hardship support. You can also contact Citizens Advice for help negotiating or understanding your options.


Final Thoughts


Cutting your energy bills isn’t about going cold or dark — it’s about being smart with how, when, and where you use energy. From simple behavioural changes to smart tech and insulation, there are plenty of ways to reduce your bills without sacrificing comfort.


By taking action now, you can protect yourself against future price hikes, reduce your carbon footprint, and feel more in control of your household expenses.



Read our guide on How to Save Money Every Day



[Link: How to Switch Broadband and Save Money]



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Please note:  All content on SmartWithMoney.co.uk is for informational purposes only and does not constitute financial advice. Always seek guidance from a qualified financial adviser before making any financial decisions.

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