Bad Billing: How the Cost of Living Crisis is being worsened by poor data and a lack of trust
An investigation into the impact of the energy price rise and how utilities suppliers can do more to help struggling households
In today's tough economic climate, many households are struggling with their utilities bills. Despite support being available, many don't know it is there or those that do are too proud ask for help therefore much goes unclaimed and does not reach the people who need it most. This is further compounded by a lack of data maturity in the utilities sector with poor data quality and data management driving an increase in billing errors. Not only are these mistakes distressing, but it is also driving up bad debt.
Energy and water are essential services and critical to people’s health and wellbeing. Utilities suppliers have a social obligation – as well as a regulatory obligation in the case of water – to support customers who are struggling to pay their bills. From social tariffs to one-off government payments, there are various forms of assistance suppliers in different industries can offer. However, despite the availability of this support, it appears help is not reaching the people who need it most.
To understand the full extent of these problems, we surveyed 2,010 utilities bill payers in the UK and asked how the cost of living crisis is affecting them and their ability to afford essential services. It also aimed to identify a path forward for utilities suppliers to help consumers overcome any financial challenges they may be facing as a result. The report clearly shows suppliers need to be as proactive as possible in extending the olive branch to customers, both to help regain trust and reduce bad debt. Yet to do so, they need to get to grips with their data.