The Warmth Gap: why millions won’t escape the cold this winter:

While the energy crisis feels like it’s over for some, for millions of people across Great Britain it doesn’t feel that way. Many are still facing impossible choices this winter — between heating their homes and putting food on the table. Nearly 7 million households (24%) are still struggling to afford essentials. The winter will push struggling families to the brink, with the slight increase of the energy price cap bringing no relief. So far in 2025 we have helped 22,349 people with an energy debt, disconnection or affordability problem, highlighting the continuing struggles people are facing with unaffordable energy bills. Behind these numbers are real people struggling to stay afloat.

This blog is the first in a series about energy affordability.

Real lives behind the numbers

Elaine* has received a high energy bill that she cannot afford to pay. She’s a single parent, and has no way of increasing her income to cover the additional energy costs. Elaine already lives with a strict budget, and is trying to repay some of her energy debts. This cost is leaving her short of money for food, and she’s choosing to skip meals in order to feed her children.

Elaine has worked hard to avoid falling into debt, and has been left feeling powerless, with no way of improving her situation.

Elaine’s story is far from unique — our research this summer, commissioned by Yonder Consulting, found that 38% of people are worried about being able to pay their energy bills this winter, and nearly 1 in 4 (23%) couldn’t heat their home to a comfortable temperature last year. These figures make it clear that the end of the energy crisis hasn’t meant the end of hardship.

The rising tide of energy debt

The result of high energy bills is that people are falling into deeper energy debt. For people like Layla*, the pressure of rising bills has already led to serious debt.

Layla is struggling to afford her energy bill, which is affecting her physical and mental health. She has multiple long-term health conditions that prevent her from working, leaving her isolated and under significant financial pressure. This situation has caused her considerable anxiety and emotional distress.

As a result of her financial constraints, Layla has fallen into severe debt, and has no available income to make repayments. This means that she’s living with a monthly deficit of over £100 per month.

The stress of Layla’s debt has taken an emotional toll, which has reduced her capacity and confidence to engage with employment support that could help her re-enter the workforce.

If people like Layla don’t get help with their energy debts they risk falling further into a negative budget and facing further hardship such as housing insecurity, energy disconnection, and worsening physical and mental health.

People continue to struggle with energy debt, and their debt levels have increased. This year, our advisers have helped 76,448 people with energy debts. In August 2025, the average debt levels held by the people who come to us for help was £1,694, up £700 from 3 years ago. With debt levels rising, it’s becoming harder for people to get back in the black. Without meaningful change, more people risk falling into debt, facing financial insecurity as well as emotional and physical distress.

45% of the people we surveyed said they would worry about paying their energy bills this winter if they increased by 5%. With rising bills and deepening debt levels, this winter will force many people into further hardship. So far in 2025, a quarter (25%) of the people we’ve helped with energy debt have also needed help with a foodbank referral, and 1 in 5 of them have required further charitable support. This shows some of the tough choices that people are having to face in order to make ends meet, as a result of their energy bills.

A fairer future: What government can do at the November Budget

Although the Government has taken steps such as extending and expanding the Warm Home Discount to reach a higher number of people in need, further action is required to help people struggling to pay their energy bills. At the November budget the Government must act to make energy bills more affordable, including for vulnerable consumers.

They should start with electricity, where policy and environmental levies make it harder for people to benefit from the move to clean power. We know that electricity costs are greater than gas — of those who have a debt repayment plan 30% use dual-fuel (where you pay for both gas and electricity together in one bill), whereas 68% use just electricity. Shifting these costs off electricity bills could save households between £70 and £75 a year on their electricity bills, and up to £180 for those with traditional electric heating who are often in the deepest fuel poverty. This would also make it easier for people to save money if they switch to heat pumps.

In addition to this, the Government can make changes to the Warm Home Discount that would improve energy affordability for those who need support. A targeted, tiered system, which would provide tailored support based on people’s energy needs.

Taking these actions would go some way towards the government’s pledge to reduce energy bills by £300, and protect vulnerable consumers from being pushed deeper into financial hardship by rising energy bills.

The energy crisis may not be as prevalent in the headlines, but millions of households are still struggling to pay their bills.

This blog is the first in a series of blog posts we are publishing that will explore how the unaffordability of energy is impacting different demographics, including people with disabilities, families and people on benefits.

The data used in this blog comes from both our internal data and a survey commissioned by Yonder Consulting. The case studies come from calls received by our local advisers.

*Names have been changed to protect anonymity.