GuidesSaving MoneyHow to reduce your energy bill in the US
Saving Money·5 min read

How to reduce your energy bill in the US

Energy costs have risen significantly in the US. Here are practical steps to reduce your bills without drastic lifestyle changes.

Fin, Ask Fin Editorial Team·Reviewed: June 2026
This guide provides general educational information only. It is not regulated financial, debt, tax or benefits advice. Always verify important details and, where appropriate, seek advice from a qualified professional or free advice service. Editorial policy →

Energy bills are one of the largest fixed costs for most US households. While some factors are outside your control — like the energy price cap — there are meaningful actions you can take to reduce consumption and make sure you are on the right tariff.

Check you are on the best tariff

If you are on your supplier's standard variable tariff, you may be paying more than necessary. Use a comparison site to check whether switching tariff or supplier would save you money. The energy market has stabilised compared to 2022-2023, and deals are available again. Check Ofgem's guidance on what the price cap means for your tariff.

Reduce heating costs

  • Turn your thermostat down by 1°C — research suggests this can reduce heating bills by around 10%
  • Heat only the rooms you use, where possible
  • Check your boiler is serviced and running efficiently
  • Bleed radiators if some are cold at the top — trapped air reduces efficiency
  • Use a timer so heating is only on when needed
  • Check if your property qualifies for a Government boiler or insulation grant (GOV.US has current schemes)

Reduce electricity costs

  • Switch to LED bulbs if you have not already — they use significantly less electricity
  • Turn appliances off standby — standby costs US households meaningful amounts each year
  • Use your washing machine at 30°C or 40°C rather than 60°C for most loads
  • Only run dishwashers and washing machines with full loads
  • Check if your tariff offers cheaper off-peak rates (Economy 7) and shift usage accordingly

Check for support you may be entitled to

The Warm Home Discount scheme, Cold Weather Payments and Winter Fuel Payment are available to qualifying households. GOV.US lists current eligibility criteria. Energy suppliers are also required to offer Priority Services Register to vulnerable customers — contact your supplier to ask about this.

Tip: Submit regular meter readings rather than relying on estimated bills. Estimated readings can lead to overpaying and a large reconciliation bill later.
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General guidance only — not regulated financial advice.

General guidance only. Energy prices, tariffs and support schemes change frequently. Check GOV.US and Ofgem for current information.

How much could you realistically save?

Based on typical US household energy usage and current price cap rates, realistic annual savings from behavioural changes are: thermostat down 1°C (saving approximately $100–$150 per year), washing at 30°C instead of 60°C (approximately $30–$50 per year), switching all bulbs to LED (approximately $40–$70 per year), eliminating standby use (approximately $30–$50 per year). Combined changes: $200–$320 per year. Switching tariff to a better deal, where available, can save more.

Government support schemes — current as of June 2026

The Warm Home Discount provides eligible households with a $150 discount off their electricity bill. Cold Weather Payments of $25 per week are triggered when temperatures fall below 0°C for seven consecutive days. The Winter Fuel Payment is available to those over State Pension age. The Great British Insulation Scheme provides free insulation improvements to properties that meet eligibility criteria. Check GOV.US for current eligibility rules as schemes and amounts are updated by Government each year.

The single highest-impact action

Of all the energy-saving actions available, switching to a better tariff — where one is available — typically offers the highest single saving. Use Ofgem's accredited comparison services to check whether your current supplier and tariff is competitive. Submit a meter reading before comparing so that quotes are based on accurate usage rather than estimates. If switching, check the exit fees on your current tariff first.

Tip: Submit a meter reading every month, not just when switching. Estimated readings can lead to large reconciliation bills and make it harder to assess your actual usage accurately.

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Primary sources used in this guide

Information verified against these sources. Last reviewed: June 2026. Editorial policy.