Energy bill crisis
The impact of global events on our energy supply and the cost to use it are making headlines on a daily basis. Governments have introduced initiatives to help householders out, yet there are still distressing stories of people having to choose between heating and eating and some startling figures relating to energy price rises.
Energy will be high on the agenda in many households as gas and electricity meters are studied, suppliers are compared and extra consideration is given towards usage.
Who is responsible for energy bills in a private rented tenancy?
Ultimately in the vast majority of private tenancies it will be the tenant that foots the bill for any energy, or indeed other utility, costs that they accrue while living in the property. Who is responsible for making sure the bills are paid however, depends on whose name is registered with the energy provider, and what is specified on the tenancy agreement.
If the tenant is registered for billing with the energy provider, then they are liable to pay the bills from the date they move in to the property. The provider will communicate directly with the tenant and any debt accrued is related to them, not the property or the landlord, so the landlord would not be pursued for this debt.
In some tenancies, bills are in the landlord’s name and the tenant pays the landlord for utilities they use, while the landlord settles the bills with the provider. If, at the end of the tenancy, the tenant has an outstanding debt to the landlord for such payments, the landlord may make a claim against the tenancy deposit to help cover the cost. Such a claim would come under the category of “other” if submitting a claim with a tenancy deposit protection scheme. Both for clarity between parties and to act as evidence in the event of a claim, any arrangements regarding payment of energy bills should be clearly outlined in the tenancy agreement.
Easing energy pressures
While the increase in energy prices presents a worry for many people, there are organisations which can help tenants reduce their bills and support landlords in making their properties more energy efficient – each making life a little easier for both parties.
Home Energy Scotland, which is funded by the Scottish Government and managed by Energy Saving Trust, is one such organisation. They can provide bill payers with information on how to save money, as well as checking their eligibility for discounts from suppliers and helping them to get a benefits and tax credit check.
As well as advising tenants on subjects such as switching suppliers and financial support, Home Energy Scotland can also provide both financial and practical advice to landlords. Properties can be assessed, with the landlord given guidance on the most cost effective ways to meet the government’s minimum Energy Performance Certificate (EPC) standards. As well as helping to avoid potential penalties by meeting these standards, improved energy efficiency can help sustain existing tenancies, attract new tenants and lower bills for the payer – a win-win for everyone.
