Homeworking ‘could add £52m a week onto energy bills’

More people working from home due to the coronavirus pandemic could mean household energy bills increase by £52 million a week, research from Uswitch.com has suggested.

In analysis produced before Boris Johnson ordered a lockdown, the comparison service estimated 16.8 million people will work from home. It judged that this will result in an additional 25 per cent more electricity and 17 per cent more gas use per day — which adds up to a potential yearly increase of up to £195 per household, or £16 per month for customers on standard variable tariffs.

Last week the government unveiled a series of principles agreed with all energy suppliers to support customers, particularly the vulnerable, if they are unable to pay their bills due to a loss of earnings during sickness.

Source: Employees per sector from Office for National Statistics employment by industry. Labour force survey data, correct as at 18/2/20. Assumptions on proportions of workers who are at work or at home are by Uswitch.

Cordelia Samson, energy expert at Uswitch.com, said: “This is a hugely unsettling time for everyone, with many people staying at home who don’t normally, and some having to juggle looking after children at the same time.

“People will be thinking about vulnerable friends and relatives, so the last thing on their minds will be their energy bill.

“It’s great to see what energy firms are doing to keep the most vulnerable people supplied with gas and electricity, and we would urge all suppliers to continue to work together to protect those in need.

“Working from home and entertaining children during the day means having the heating on when it wouldn’t usually be, and using extra gas and electricity for cooking, making cups of tea, televisions and computers.”

Source: Uswitch.com data, correct as at 20/3/20. Prices assume a household with medium annual consumption on a dual-fuel tariff. Credit meter prices assume payment by monthly direct debit. Increases assume 25% increase in electricity use and 17% increase in gas use.