Last updated: 21 May 2026
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A must-read for all students

Student Bills:
The Cheat Sheet

Everything you actually need to know about setting up bills as a student in the UK.

Key phrases
to know

Before you get started, here are the terms that'll come up again and again.

TermWhat it means
Standing chargeA fixed daily fee you pay regardless of how much energy or water you use. It covers the cost of keeping you connected to the network, and applies from your tenancy start date even if nobody has moved in yet.
Direct debitAn agreement that lets a supplier automatically take a payment from your bank account each month. Most suppliers prefer this and it can get you a small discount over paying by other methods.
Standing orderSimilar to a direct debit, but you set it up yourself to send a fixed amount to someone else on a regular date. Useful for getting flatmates to automatically pay their share of bills.
Ofgem price capThe government limit on what energy suppliers can charge per unit of gas and electricity. Updated every quarter, it protects households on standard variable tariffs from extreme price spikes.
Standard variable tariff (SVT)The default tariff you land on when a fixed deal ends. It moves with the Ofgem price cap. For students, this is usually the safest option as it has no exit fees and no long-term commitment.
Meter readingThe number shown on your gas or electricity meter, measured in kWh. Submit these regularly so you're billed for what you actually use rather than an estimate. Suppliers guess high when they don't have a reading.
Exit feeA penalty charged if you leave a fixed-term energy or broadband contract early. Always check for these before signing up — as a student, avoid them where possible.
Rolling contractA contract with no fixed end date, usually renewed monthly. You can cancel with 30 days notice and no exit fee. More flexible than a fixed term, though often slightly more expensive per month.
Water
Updated for 2025/26

Out of all the utilities, water is the easiest one to set up, as you'll only have one provider.

Your provider depends entirely on where your property is, and your letting agent should let you know who your supplier is. If they haven't been in touch, this link is the easiest way to find out: water.org.uk/find-your-supplier

What to expect in 2025/26 Source: Water UK / One Utility Bill
Water bills rose significantly this year. The national average is now around £50/month for a typical household, up roughly £10/month from last year. It varies by region though. The North East sits closer to £35-40/month, whereas the South tends to be pricier. It'll likely be one of your cheaper bills alongside WiFi.

The number won't split perfectly between flatmates because of standing charges, which is a daily charge you'll pay regardless of whether you use any water.

I'd recommend setting your direct debit up as a standing order or monthly direct debit, so you're not left with a nasty bill when you move out. It'll be much harder for you and your flatmates to gather all the money at the end of the year.

There are loads of ways to reduce your water bill, ranging from having showers instead of baths to using the quick wash or eco modes on your washing machine. Here's a link that could help: watersworthsaving.org.uk

WiFi

Everyone hates slow WiFi.

You'll commonly have two types available to you: broadband or fibre. When possible, I strongly recommend going with fibre, as it's significantly faster for a very small increase in price.

The most important thing to get right: contract length

Don't make this mistake
Loads of WiFi packages are 18 or 24-month plans aimed at homeowners. These aren't what you're looking for, as you'll be paying for months after you move out of the property, with some hefty cancellation fees if you try to cancel. Make sure you're getting a contract length that suits you and your stay at uni.

There are two types of contract that actually make sense for students: rolling monthly or 12-month. The right one depends on how long you're actually at the property.

Rolling monthly
Cancel any time

Best if you're at the property for less than 10 months, or if you're unsure of your end date. Higher monthly cost, but zero exit fees and no faff chasing flatmates across a summer break. Providers like Hyperoptic, 4th Utility, and Three offer these from around £26-39/month.

12-month contract
Lower monthly cost

If you're at the property for a full 10-12 months, a 12-month contract works out cheaper and means you only have to set it up once. Virgin Media, Community Fibre and Hyperoptic all offer 12-month deals. Always check the exit fee before you sign up.

To avoid any future pain, it's worth checking what other people on your street are using, as reliability is very often down to your local area's infrastructure, not the company itself. If your neighbours swear against a particular company, it's best to just avoid it.

Which speed do you need? Source: Ofcom / MSE

A good rule of thumb is to allocate around 40-50Mb/s to each person.

Household sizeRecommended speedWhy
1-2 people100Mb/sComfortable for everyday use
3-4 people200-350Mb/sMultiple streams, gaming, video calls
5-6+ people500Mb/s+Heavy multi-device households

If you and your flatmates are heavy internet users (gaming, streaming, video editing, content creation), it's worth bumping up your speed a notch. If you're unable to get a fibre package, aim to get the fastest speed you can at a reasonable price.

Use MoneySavingExpert's broadband comparison to filter by contract length and postcode. It's the most up-to-date resource for what's actually available at your address.

Get £50 with Sky Broadband
Sign up to Sky through my referral link and you'll get £50. Check the deals section at the bottom of this page for the link.

Drop me a message if you'd like help setting this up.

Gas &
Electricity
Prices updated 2025

First things first: find out who your supplier is and set up an account and direct debit. You can do that here: findmysupplier.energy

One of the good things about gas and energy suppliers is you only need to look out for three things:

  • Good rates
  • Good customer service
  • No exit fees - this one is very important. You don't want to lock yourself into a 24-month contract by accident.
What to budget in 2025 Source: Ofgem / MoneyHelper / Confused.com
For a typical 3-bed student house on a standard variable tariff, the national average works out at around £73/month for gas and £73/month for electricity, so roughly £146/month combined for the whole property. That's around £49/person in a 3-bed. Winter months will be significantly higher, summer considerably lower, so factor that in if you're setting a flat monthly split.

Energy prices are still high. If you're inheriting a standard variable tariff, you're currently protected by the Ofgem Energy Price Cap. Most homes will be better off staying with their current energy supplier right now. If your fixed term is coming to an end, don't choose a new tariff or switch suppliers. Instead, let your supplier automatically move you to their default tariff, so your prices are protected by the Government's Energy Price Cap.

Remember that you are liable as the tenant to pay the gas and electric bills from the start of your tenancy. That means if your tenancy starts on June 1st but you don't move in until September, you're still liable to pay for those months you weren't there. It is not the landlord or letting agent's responsibility. Even if you don't use any gas or electricity till later in your tenancy, standing charges do still apply.

If you are looking to switch your supplier, I've personally had a good experience with (in no particular order). All ratings sourced from independent surveys:

  • Octopus Energy - no exit fees on all contracts. Ranked 1st for customer satisfaction in Ofgem's 2025 independent survey (90% of customers satisfied), and winner of every category at the 2025 Uswitch Awards. 4.8/5 on Trustpilot from 400,000+ reviews. Ofgem survey, Dec 2025 / Uswitch Awards 2025
  • British Gas - UK's largest energy supplier, covering around 10 million homes. 4.4/5 on Trustpilot from 333,000+ reviews. Ranked 14th of 16 suppliers by Citizens Advice (Q4 2025), though independently recognised for the biggest improvement in customer satisfaction scores among all suppliers in 2024-25. Check for exit fees before signing up. Citizens Advice Q4 2025 / Trustpilot / Uswitch 2025
  • So Energy - 4.3/5 on Trustpilot from 24,000+ reviews. Ranked joint 5th out of 17 suppliers in the Which? 2025 customer survey, with the lowest formal complaint rate of any supplier surveyed (2%). Praised particularly for clear statements and ease of contact. Which? survey Sep-Oct 2025 / Trustpilot
Take meter photos on move-in day
A quick snap can be super handy as it shows the date and time, the meter reading, and your serial number. Having these photos floating around in your gallery can be a lifesaver if you ever get into trouble with your supplier. If you live in a building of flats, make sure you're reading the correct meters. Your letting agent will be able to help you identify which meters are yours.
Get £50 free credit with Octopus Energy
If you sign up to Octopus Energy through my referral link, you'll get £50 free credit added to your account. See the deals section at the bottom of this page for the link.
Council
Tax

Students won't pay any council tax, but you do still need to apply for your exemption.

  • Usually, you'll only have to apply for your exemption once, but it's worth checking every year to avoid any nasty surprises. You can check who your local council is here: gov.uk/find-local-council
  • Sometimes, you'll have been sent a letter by the council with details on how to apply. Alternatively, just Google "Council Tax Student Exemption" followed by your city.
  • If you live with students but you're on placement or working, you should be able to apply for a single person discount of 25%.
How to prove your exemption
You'll need a letter from your university confirming you're a full-time student. Most universities issue these automatically or through their student portal. Get it sorted in your first week.
My Top
Tips
1
Set up bills on direct debit. This means you chip away at them at a predictable monthly rate, and really reduces the chances of being stuck with a hefty bill at the end of the year and housemates that don't want to pay. Most suppliers will also give you a small discount for paying by direct debit.
2
Make sure you pay your bills frequently. They don't need to always be 100% on time, but you shouldn't get into the habit of not paying them for a few months, as bills rack up quickly and you will have to pay for them one day.
3
Everyone is paying for the bills equally, so it would be unfair for one person to be wasteful and force everyone else to pay for their high expenditure. Make sure everyone agrees on when heating should be used, if you can use the dryer, etc. These are all costs that rack up.
4
Take photos of your meters! A quick snap can be super handy as it shows the date and time, the meter reading, and your serial number. Having these photos floating around in your gallery can be a lifesaver if you ever get into trouble with your supplier.
5
If living in a building of flats, make sure you're reading the correct meters. The letting agents will be able to help you identify which meters are yours with the printed serial number. It should be in the inventory.
6
Get your flatmates to set up standing orders. Let's say your bills are £120 for a flat of 4 people. If they're all under one person's name, the 3 other people can set up a monthly standing order for £30. These take less than a minute to set up on your banking app, and saves a lot of time in the long run.
7
If you don't know the people you're living with at all, or want to avoid people not paying you back, it might be a smart choice to go with a supplier like FusedBills or SplitTheBills. This will be significantly more expensive and you won't get the same incentives, but you will have that protection against incompetent housemates.
8
International students! You will need a UK bank account to set up the majority of your bills. Monzo and Starling are quite easy banks to set up with.
FAQ

Should I go through a bills company, or set them up myself?

Let's use a 3-bed flat as an example, and compare FusedBills and TheBunch to setting up the bills yourself. All prices are for the whole property, per month.

The BunchFusedBillsSetting up yourself
Gas & Electricity~£280~£310~£153
WiFi (100Mb/s)~£70~£45~£32
Water~£55~£55~£50
Total (whole property, per month)~£405~£410~£235
Per person, per month~£135~£137~£78

DIY figures based on Ofgem price cap averages (MoneyHelper, 2025) and current broadband market rates (MSE, May 2025). Bills company figures are estimates and may vary. Always check current rates directly with providers.

Providers such as TheBunch and FusedBills offer "unlimited" usage, which sounds great until you compare the costs to the national average. Realistically, you'd have to go out of your way to use enough extra utilities to justify the premium. Imagine what else you could do with that money!

How do we split the bills amongst flatmates?
I've already mentioned using standing orders for utility bills, but what about toilet roll, washing up liquid, or that takeaway your mate promised they'd pay you back for?! I've used an app called Splitwise for years, and it's done everything I've needed it to. It doesn't handle any payments within the app, so you'll still have to transfer money between each other, but it tracks everything simply and prevents any arguing over who paid what.
When should I set bills up?
As soon as your tenancy starts, ideally in the first week. Remember: you're liable from the tenancy start date, not the day you actually move in. If your contract starts June 1st but you don't arrive until September, you owe from June 1st. Standing charges don't care whether anyone's home.
What if a flatmate stops paying?
If the bill is in your name, you're responsible for the full amount. The best prevention is getting everyone on standing orders from day one so payments are automatic. If someone does stop paying, chase them in writing so you have a record. For repeat offenders, small claims court is an option for larger amounts.
Can I switch energy suppliers mid-tenancy?
Yes, as long as there are no exit fees on your current tariff. That said, with the Ofgem price cap currently in place, most households are best off staying on the default variable rate unless you can find a clearly better fixed deal. Check ofgem.gov.uk for the latest cap.
Do I need to set up bills if I'm in university halls?
No, everything is included in your rent in halls. This guide is for private rented accommodation: houses, flats, and HMOs.
Free
Vouchers!

I do benefit when people set up their accounts through the links below. That said, the suppliers I've listed are the ones I've used over my time as a student, and I've found them to be the best. As a thank you for setting up through me, you'll get a free voucher too.

Energy
Octopus Energy
£50

Sign up to Octopus Energy through my referral link and you'll get £50 free credit added to your account.

Get £50 credit →
Broadband
Sky
£50

Sign up to Sky Broadband through my referral link and you'll get £50.

Get £50 →
Supplements
MyProtein
Use code ISHAAN-R1H

Get a discount on MyProtein orders using my referral code at checkout.

Shop MyProtein →
Thank you voucher
Set something up through me?
£10

As a thank you for setting up a bill using one of my referral links, fill in the form and I'll send you a £10 voucher of your choice.

Claim your voucher →

Refer a friend to this guide and they set something up through one of the links? You'll get a £10 voucher too. Spread the love.

Bills Calculator

Enter the rates you've been quoted and see your estimated monthly costs split by household and per person.

Your household
3

Average: ~2,700 kWh electricity / ~11,500 kWh gas per year (Ofgem typical household)
Gas & Electricity

Enter the rates from your supplier quote or energy bill. Your supplier must provide these.


Leave blank if electricity only (no gas supply)
Water

Check your bill or contact your supplier. Find yours at water.org.uk.

National average is around £45-55/month for a 3-bed (2025/26)
WiFi

Enter your monthly broadband cost. Compare deals at MoneySavingExpert.

Typical range: £27-£39/month depending on speed and contract
Your estimated monthly costs
Electricity
Gas
Water
WiFi
Total (property)
Per person
Enter your rates above to see a full breakdown.

Bills Glossary

Every term you'll come across when setting up your student bills, explained plainly.

Billing basics
Standing charge EnergyWater
A fixed daily fee you pay regardless of how much energy or water you actually use. It covers the cost of keeping your property connected to the network. It kicks in from your tenancy start date, even if nobody has moved in yet. You cannot opt out of it.
Unit rate Energy
The price you pay per kilowatt hour (kWh) of gas or electricity you actually consume. Usually shown in pence per kWh on your bill or supplier quote. Your total energy cost is the unit rate multiplied by your usage, plus the standing charge.
kWh (kilowatt hour)
The unit used to measure energy consumption. One kWh is the amount of energy used by a 1,000-watt appliance running for one hour. Your meter records how many kWh you've used, and your bill is calculated from that reading multiplied by your unit rate.
Meter reading Energy
The figure shown on your gas or electricity meter, recorded in kWh. Submit accurate readings regularly so you're billed for what you actually use, not an estimate. If you don't, your supplier will estimate and they tend to guess high. Take a photo on move-in day as a dated record.
Estimated bill
A bill calculated by your supplier based on assumed usage rather than a real meter reading. They can be higher or lower than your actual usage, and any difference is corrected when a real reading is submitted. Always send readings to avoid surprises.
Direct debit Payment
An authorisation you give to a company to automatically collect a payment from your bank account on a set date each month. Most energy, water, and broadband suppliers prefer direct debit and may offer a small discount for using it.
Standing order Payment
A fixed, automatic payment you set up yourself from your bank account to someone else on a regular date. Unlike a direct debit, you control it entirely. Useful for getting flatmates to pay their share of bills automatically each month without having to chase them.
Energy
Ofgem price cap Energy
The maximum amount energy suppliers in England, Scotland and Wales can charge per unit of gas and electricity, and for daily standing charges. Set by the regulator Ofgem and updated every three months. It doesn't cap your total bill — only the rates per unit.
Standard variable tariff (SVT) Energy
The default tariff most households end up on when a fixed deal ends, or when they've never actively chosen a tariff. Prices move in line with the Ofgem price cap. For students, this is usually the safest option — no exit fees, no long-term commitment, and your rates are protected by the cap.
Fixed tariff Energy
An energy deal where your unit rate and standing charge are locked in for a set period. Can be cheaper if rates rise, but more expensive if the cap falls. Usually comes with exit fees if you leave early. Generally not recommended for students on short tenancies.
Dual fuel Energy
When you get both your gas and electricity from the same supplier under one account. Often simpler to manage and sometimes comes with a small discount. Most student households go dual fuel by default.
Smart meter Energy
A digital gas or electricity meter that automatically sends readings to your supplier. Often comes with an in-home display showing live usage and cost. If your property has one, make sure it's communicating correctly with your new supplier when you move in.
Prepayment meter (PPM) Energy
An energy meter that requires you to top up credit before you can use gas or electricity — like pay-as-you-go. Common in student properties. If credit runs out, your supply stops. Usually a slightly higher unit rate than direct debit tariffs.
Typical Domestic Consumption Values (TDCV) Energy
Ofgem's definition of average annual energy use for a typical UK household: 2,700 kWh of electricity and 11,500 kWh of gas per year. Used to calculate the headline "average bill" figures in the news. Your actual usage will vary depending on household size, property type, and lifestyle.
Contracts
Exit fee Contract
A charge applied if you cancel a fixed-term contract before it ends. Common in energy and broadband deals. Always check for exit fees before signing up to anything as a student — a seemingly cheap deal can become expensive if you need to leave early.
Rolling contract Contract
A contract with no fixed end date that continues month to month until cancelled. Typically requires 30 days notice to end, with no exit fee. The most flexible option for students on short or uncertain tenancies.
Fixed-term contract Contract
A contract that runs for a set period — typically 12, 18, or 24 months. Usually cheaper per month than a rolling deal, but comes with exit fees if you leave early. For broadband, avoid 18 or 24-month deals as a student unless you're certain you'll be at the property for the full duration.
Cooling-off period Contract
A window of usually 14 days after signing a new contract during which you can cancel without penalty, by law. Applies to most energy and broadband deals taken out online or over the phone. If you've signed up to the wrong deal, act quickly within this window.
Broadband
Standard broadband (ADSL) Broadband
The older type of internet connection that uses copper phone lines. Slower than fibre and typically maxes out around 10-17Mb/s. If fibre is available at your address, it's almost always worth the small extra cost.
Fibre broadband Broadband
A faster internet connection using fibre-optic cables. Part-fibre (FTTC) runs fibre to a street cabinet then copper to your home. Full fibre (FTTP) runs fibre directly to the building. Over 90% of UK properties now have access to some form of fibre.
Download speed (Mb/s) Broadband
How quickly data travels from the internet to your device, measured in megabits per second. A good rule of thumb is 40-50Mb/s per person for everyday use. Streaming, gaming, and video calls use significantly more than basic browsing.
Water
Water meter Water
A device that measures exactly how much water your household uses. Metered properties pay based on actual consumption. Unmetered properties pay a flat rate. Fewer occupants than bedrooms often means a meter saves money.
Rateable value Water
A historical property valuation from 1990 used to set water charges for unmetered properties. Has no relation to current property values or actual usage. If your household has fewer occupants than bedrooms, it's usually worth requesting a meter as you'll likely pay less.
Housing
Tenancy start date
The date your rental agreement legally begins. This is when your liability for bills starts — not the date you physically move in. If your contract starts June 1st but you don't arrive until September, you're responsible for all standing charges from June 1st.
HMO (House in Multiple Occupation)
A property rented by three or more unrelated people who share facilities like a kitchen or bathroom. Most student houses are HMOs. Bills are typically set up in one or more tenants' names, with everyone splitting the cost.
Inventory
A detailed record of the property's condition and contents at the start of your tenancy. Useful for finding your meter serial numbers and recording opening meter readings. Keep a copy and add your own photos on move-in day.
Council tax exemption
Full-time students are exempt from paying council tax, but you must apply for the exemption — it doesn't happen automatically. You'll need a letter from your university confirming full-time student status. If even one non-student lives in the property, they may be liable for a reduced amount.