More than 100,000 people have pledged to cancel their direct debits for gas and electricity from October to protest against rocketing energy prices, according to Don't Pay UK. The campaign group was started in June, after it was announced that annual bills for a typical household are forecast to top £3,600 from January amid the biggest cost of living crisis in Britain for decades.
Don’t Pay UK said it would only take action if one million people signed up to the mass non-payment of energy bills by October 1 and the Government failed to “adequately address the crisis" and is calling on people to spread the word. Its presence on social media is gathering followers. According to Don't Pay UK's Twitter account, "It's a simple idea: We demand the Government scrap the energy price rises and deliver affordable energy for all. We will build a million pledges and by October 1 if the Government and energy companies fail to act we will cancel our direct debits." Its website goes into more detail, saying: "Even if a fraction of those of us who are paying by direct debit stop our payments, it will be enough to put energy companies in serious trouble, and they know this. We want to bring them to the table and force them to end this crisis."
Despite the momentum building for the movement, charities have warned that not paying energy bills could lead to serious consequences. Newcastle Citizen's Advice advised families to get advice if they are struggling to pay energy bills, but warned that "the Government must be ready to act again due to huge financial pressures that will come into play this winter".
Read more: Energy arrears overtake council tax as most common debt issue
A spokesman said: "At Citizens Advice Newcastle, we have seen over one and a half times more clients by this point in the year for energy compared to 2021 and dealt with almost three times as many energy issues alone. The scale of this crisis is unlike anything we’ve seen, even in the pandemic. Strikingly we’re helping more people with crisis support like food bank referrals and access to grants because they simply can’t pay the bills or put food on the table.
"We know that many families simply don’t have that extra cash to spare for October. The Government’s £400 energy rebate is hugely welcome and will put money back in people’s accounts, but we have to ask if it’s going to match up to the scale of the hikes people are going to see. In particular, we’re worried about people falling into debt and being moved to a prepayment meter, or seeing more people on prepayment meters who simply can’t afford to top up."
One man taking part in the Don't Pay UK protest is Matthew Taylor, of High Heaton, Newcastle. Matthew, 39, who lives with his partner and two young children, said: "I'm not interested in complaining about me and my struggles, but speaking up for others in need. I volunteer in local community groups, and decided to get involved with Don't Pay UK after getting to know other people in our community and hearing their stories and struggles.
"I know of a single mum who is having to skip meals after spending all her money on gas and electric and children's uniforms. She's had to rehome her beloved family dog because they can no longer afford to keep her. We have people living on our street surviving on pay slip to pay slip on zero hour contracts, who, if they are sick and can't work, don't get paid. I have worked in India and Ghana and these are similar cases of poverty I saw there. If things don't change, more children will go hungry this winter. I've noticed that school meals are smaller portions than they were a year ago and some children go without food in the evenings. I know of others I have worked with who feel exactly the same and are also planning to cancel their direct debits."
Matthew was paying £110 per month for energy, and his supplier now wants £230 a month, before the October increases. "We scrape by, but there are many others that aren't. I'm speaking out for them. There are many others struggling but may not speak out because of shame or embarrassment - they're the households that may be reluctant to ask for help and will quietly suffer," he said.
"I have campaigned before for awareness of poverty in India and Ghana after working and teaching there, campaigning for education for poor children there and girls' rights. I am seeing similar levels of poverty here now. The Government have the power to force the energy companies to charge less but history has shown that complacency achieves nothing and when enough people stand their ground, speak for what they want and take action, things happen. Too many people in this country are happy to sit around and quietly grumble without taking action.
"Don't Pay UK is not about not paying at all. Cancel your direct debit and pay for what you use or can afford to. If enough people cancel their direct debit, the purpose of which is for the companies to 'forecast' what they will receive, on October 1, it will set off alarm bells for the likes of Shell and upset their shareholders. I have informed Shell that I will be cancelling my direct debit on October 1."
But the spokesperson at Newcastle Citizen's Advice urged people to contact their energy supplier if they were struggling to pay, although she said the CAB recognise why some people might feel they’re running out of options. "We hear from people every single day facing desperate choices because they’re struggling to pay their bills," she said. "We’d always encourage people as a first port of call to contact their energy supplier because they have to help you come to a solution.
"If you cancel your direct debit, you might be charged a fee. Check your supplier’s website to find out what this might be. It’s also likely that if you move from direct debit to a different payment method you will end up paying more, as direct debit is often the cheapest option. When you build up arrears to your energy supplier they can take action like moving you onto a prepayment meter or, in rare cases, they could disconnect you. Fuel debts are priority debts. Priority debts are those that carry the most serious consequences if you don’t pay them. A priority creditor can take action that means you could lose your essential supplies (such as gas or electricity).
"If people don’t pay them, their supplier can collect the debt using a debt collection agency. They can also get a court warrant to enter people’s homes to fit a prepayment card meter. As politicians set out their priorities, tackling the cost-of-living crisis has to be front and centre of the agenda. The support so far is hugely welcome but with frightening pressures expected again this winter, the Government must be ready to act again."
Now read:
- Switching off to save cash might cost you more in the long run
- New rules mean 300,000 households will miss out on energy discount this winter
- Spiralling costs forcing families to use credit to pay essential bills
- New call to scrap standing charge as families struggle with energy rises during cost of living crisis
- Exact date you’ll need to submit meter reading before bill hike
