Rising energy bills set to drive ‘wave of behavioural change’

Soaring energy bills are set to drive a “wave of behavioural change” this winter, as new research from KPMG shows the vast majority of households are taking measures to manage costs.

A survey of 3,000 households conducted by OnePoll on behalf of the consultancy found that nine in ten have taken some form of action to mitigate the impact of the price increases.

Either reducing or switching off the main heating supply was the most likely measure being considered (32%), while more than a quarter (26%) are looking to reduce their electricity consumption by using fewer appliances.

More than three in 10 (31%) said they are investing in energy efficiency measures, with planned spending averaging £556.20. A similar proportion (29%) said they are actively tracking their usage, either via a smart meter or with regular meter readings, to see where they can save.

Of specific energy efficiency measures, upgrading lightbulbs is the most likely investment, with just under a quarter (24%) expecting to do this. Upgrading glazing (21%) and draft proofing (19%) are other popular options.

Meanwhile large investments are also being considered, with 19% planning to install solar panels, one in six (16%) looking at upgrading their boiler or heating system and the same proportion considering loft installation.

However, almost a quarter (23%) of households said that they can’t afford to undertake any upgrades.

Other findings from the research include that more than half of people (56%) agree that more support for energy efficiency measures would help them this winter, with a similar proportion (55%) saying that they would apply for such support if it was available.

One in five billpayers have already cancelled direct debits and are only paying for the energy they have used, while 21% have opted to overpay on their direct debit to cover additional winter spend.

One in 10 plan to use savings to cover additional costs, while 17% will reduce spending elsewhere and 8% said they will have to make use of public spaces to avoid using energy.

Commenting on the findings Simon Virley, vice chair and head of energy and natural resources at KPMG, said: “Rising energy bills are set to drive a wave of behavioural change over this winter as many households look to mitigate the impact as much as they can.

“With some of the leakiest housing stock in Europe, addressing the energy efficiency of our homes will be key to permanently reducing bills, improving energy security, and tackling climate change.

“This survey indicates that there is clear public appetite for this. This appetite needs to be matched with better information and support for households to make the changes needed.”

The frictions inherent in balancing net zero, security of supply and affordability are at the core of the agenda for the Utility Week Forum, on 8-9 November in London. Find out more here.