EDF Energy Alerts More Customers in Debt

Energy debt is escalating in the UK, with EDF Energy reporting an increase of 53,000 customers in debt compared to last year. The total debt among these customers has surged by over £70 million, prompting EDF to invest £27 million in initiatives aimed at assisting those struggling financially. This alarming trend coincides with predictions that energy bills will rise by £146 for average billpayers under Ofgem's price cap in October. Despite EDF's efforts, which have reportedly reduced the average debt of supported customers by 21%, the overall number of customers falling into debt continues to climb. The rise in energy debt is attributed to soaring wholesale prices and the ongoing cost of living crisis, with the value of customer debt increasing by 65% since 2022. Currently, the average debt per customer exceeds £1,100, highlighting the financial strain many households are facing. In response to these challenges, EDF is urging the new government to prioritize energy affordability through three key actions: reviewing energy efficiency schemes, implementing targeted energy bill support, and establishing a central database for vulnerable customers. The company is also advocating for a revamp of the Great British Insulation Scheme to enhance uptake and reduce bills, as well as a social energy tariff to protect low-income households from fluctuating prices. Philippe Commaret, EDF's customer affairs chief, emphasized the urgent need for assistance, stating that reliance on globally traded fossil fuels has led to significant price increases. He reiterated the importance of both immediate and long-term support for customers as they navigate these challenging economic conditions.