Are you an international student planning to study in the UK? Understanding the average utility bills in the UK is crucial for effective budget planning. With rising energy costs and regional variations, international students often struggle to anticipate these expenses accurately. This comprehensive guide breaks down everything you need to know about UK utility costs in 2025, helping you prepare financially for your academic journey. 

By the end of this guide, you'll understand typical utility costs across different UK regions, learn practical ways to reduce your bills, and discover how Student Tenant can simplify your accommodation search with transparent utility information. 

What Are the Average Utility Bills for UK Students in 2025?

International students in the UK typically spend between £170-£240 per month on essential utilities. This figure has increased approximately 7% since 2024, according to Ofgem's latest energy price cap adjustments. These costs include electricity, gas, water, internet, and council tax (though most full-time students are exempt from the latter). 

Understanding these expenses is essential for international students who may be unfamiliar with the UK's utility structure and pricing models. Unlike some countries where utilities might be bundled into rental costs, in the UK, they're often separate expenses that require careful budgeting. 

Breakdown of Monthly Utility Costs (National Average)

Utility TypeMonthly Cost (2025)Annual Cost
Electricity£65-£85£780-£1,020
Gas£55-£75£660-£900
Water£30-£40£360-£480
Internet£25-£35£300-£420
TV License£13.25£159
Total£188.25-£248.25£2,259-£2,979

Source: Ofgem, Water UK, Ofcom (2025 data) 

It's worth noting that these figures represent national averages. Actual costs can vary significantly based on your location, property type, number of housemates, and personal usage habits. 

Regional Variations in Utility Costs Across the UK 

Understanding regional differences is crucial when budgeting for utilities. Here's how costs vary across popular student destinations: 

London and South East 

The capital and surrounding areas typically have the highest utility costs in the UK: 

  • Average combined utilities: £220-£260/month 

  • Electricity: 10-15% above national average 

  • Water: Among the highest rates with Thames Water 

  • Internet: More competitive pricing due to greater provider options 

Midlands (Birmingham, Nottingham, Leicester) 

  • Average combined utilities: £180-£220/month 

  • Gas usage: Often higher due to colder inland temperatures 

  • Water: Moderate rates with Severn Trent Water 

  • Internet: Good value with various providers available 

North England (Manchester, Liverpool, Newcastle) 

  • Average combined utilities: £160-£200/month 

  • Overall: Generally 10-15% lower than national average 

  • Heating costs: Higher due to colder climate, especially in Newcastle 

  • Water: Lower rates with Northern water companies 

Scotland (Edinburgh, Glasgow) 

  • Average combined utilities: £175-£215/month 

  • Electricity: Higher consumption due to climate 

  • Gas: Comparable to Northern England 

  • Internet: Slightly higher costs in remote areas 

Wales (Cardiff, Swansea) 

  • Average combined utilities: £165-£205/month 

  • Water: Lower rates with Welsh Water 

  • Electricity: Comparable to national average 

  • Internet: Limited provider options in some areas 

Data sources: Energy Saving Trust, UK regional utility reports, Student Tenant accommodation data 2025 

Understanding Utility Bills: What's Included? 

Electricity and Gas 

Energy bills typically account for the largest portion of utility expenses. In 2025, the average UK student household consumes approximately: 

  • Electricity: 2,500 kWh annually 

  • Gas: 10,000 kWh annually (for properties with gas heating) 

Key factors affecting your energy bills include: 

  • Property insulation quality: Older buildings often have poorer insulation 

  • Heating system efficiency: Modern systems can reduce costs by 20-30% 

  • Number of occupants: More people typically means higher consumption 

  • Energy provider and tariff: Fixed vs. variable rates can significantly impact costs 

Water Bills 

Water charges in the UK follow two systems: 

  1. Metered: You pay for actual usage (more economical for small households) 

  1. Unmetered: Fixed annual charge based on property "rateable value" 

The average student uses approximately 80-100 liters of water daily. In shared accommodations, water costs typically range from £30-£40 per person monthly. 

Internet and Broadband 

Essential for students, internet packages vary widely: 

  • Basic packages (35-50Mbps): £20-£25/month 

  • Mid-range fiber (50-100Mbps): £25-£35/month 

  • High-speed fiber (100Mbps+): £35-£45/month 

Many student-focused providers offer 9-month contracts aligned with academic years, though these may come at a premium compared to standard 12-24 month contracts. 

TV License 

Required if you: 

  • Watch or record live TV on any device 

  • Use BBC iPlayer 

Cost: £159 annually (£13.25 monthly) per household, regardless of the number of occupants or devices. 

Energy Price Cap and Its Impact on Student Budgets 

The UK energy regulator Ofgem sets a price cap that limits what suppliers can charge for standard variable tariffs. This cap is adjusted quarterly, affecting millions of households including student accommodations. 

Current Price Cap (May 2025) 

As of May 2025, the energy price cap stands at approximately £1,850 per year for a typical household using both gas and electricity. This represents a 5% increase from the previous quarter, reflecting ongoing global energy market fluctuations. 

For international students, understanding this regulatory mechanism is important because: 

  • It provides some protection against extreme price hikes 

  • It affects all variable tariff customers, which many students are 

  • Cap adjustments can impact your budget throughout the academic year 

Source: Ofgem Price Cap Data, May 2025 

Bills-Included vs. Bills-Excluded Accommodations 

When searching for student housing, you'll typically encounter two options: 

Bills-Included Properties 

Advantages: 

  • Predictable monthly outgoings 

  • No need to manage utility accounts or payments 

  • No unexpected bill shocks 

  • Easier budgeting for international students 

Disadvantages: 

  • Often 10-15% more expensive overall 

  • No financial benefit from conservative energy usage 

  • Less control over service providers or package features 

Bills-Excluded Properties 

Advantages: 

  • Generally lower base rent 

  • Control over choosing providers and service packages 

  • Potential savings for energy-conscious students 

  • More transparency in actual usage costs 

Disadvantages: 

  • Less predictable expenses 

  • Administrative burden of setting up and managing accounts 

  • Potential for unexpected high bills 

  • Requires coordination among housemates for payment 

According to Student Tenant data, approximately 60% of international students prefer bills-included accommodations for their first year in the UK, transitioning to bills-excluded options as they become more familiar with the system. 

Practical Tips to Reduce Your Utility Bills 

Energy Saving Strategies 

  1. Optimize Heating Usage  

  1. Set heating to 18-21°C (each degree lower saves approximately 10% on heating costs) 

  1. Use timers to heat your home only when needed 

  1. Close doors to unused rooms to preserve heat 

  1. Electricity Conservation  

  1. Switch to LED bulbs (uses 85% less energy than traditional bulbs) 

  1. Unplug devices rather than leaving them on standby (saves £30/year on average) 

  1. Use energy-efficient settings on appliances 

  1. Wash clothes at 30°C instead of 40°C (40% energy saving) 

  1. Kitchen Efficiency  

  1. Only fill kettles with the water you need (saving £11/year) 

  1. Use lids on pots when cooking (reduces energy use by 30%) 

  1. Defrost freezers regularly to maintain efficiency 

  1. Batch cook meals to reduce oven usage 

Water Conservation 

  1. Bathroom Habits  

  1. Take shorter showers (reducing shower time by 1 minute saves £15/year) 

  1. Fix dripping taps (a dripping hot tap wastes £30/year) 

  1. Install water-saving shower heads (reduces water usage by up to 40%) 

  1. General Usage  

  1. Run washing machines only when full 

  1. Collect cold water while waiting for hot water and use for plants 

  1. Report leaks promptly to your landlord or water company 

Internet and Entertainment 

  1. Choose the Right Package  

  1. Assess your actual speed requirements rather than automatically choosing the fastest option 

  1. Consider student-specific deals with shorter contract terms 

  1. Bundle services where beneficial 

  1. TV License Alternatives  

  1. If you don't watch live TV or use BBC iPlayer, you may not need a license 

  1. Streaming services (Netflix, Amazon Prime) don't require a TV license unless watching live content 

Understanding Utility Setup for International Students 

Setting Up Utilities in a New Property 

When moving into bills-excluded accommodation, follow these steps: 

  1. Initial Meter Readings  

  1. Locate and record all meter readings on moving day 

  1. Take photos as evidence 

  1. Submit to utility companies to ensure accurate billing 

  1. Finding Providers  

  1. Energy: Use comparison sites like USwitch or MoneySuperMarket 

  1. Water: Usually one provider per region (no choice required) 

  1. Internet: Compare student-specific deals from major providers 

  1. Documentation Required  

  1. Proof of address (tenancy agreement) 

  1. ID (passport) 

  1. Student status (for certain discounts) 

  1. UK bank account details (for direct debit payments) 

International Student Considerations 

For students new to the UK system: 

  1. UK Banking  

  1. Set up a UK bank account for direct debit payments (often required for the best utility rates) 

  1. Consider fintech alternatives like Monzo or Revolut for quicker setup 

  1. Credit History  

  1. Be aware that without UK credit history, some providers may request deposits 

  1. Student-specific packages often have reduced requirements 

  1. Contract Terms  

  1. Look for 9-month contracts that align with academic years 

  1. Understand early termination fees if returning home during summer 

How Student Tenant Simplifies Utility Management for International Students 

At Student Tenant, we understand the complexities international students face when managing UK utilities. Our platform offers several features to simplify this process: 

Transparent Property Listings 

  • Clear Utility Information: All listings specify whether bills are included or excluded 

  • Estimated Costs: For bills-excluded properties, we provide realistic utility cost estimates based on property size, location, and previous tenant data 

  • EPC Ratings: Energy Performance Certificate ratings displayed to help you gauge potential energy costs 

Bills-Included Package Options 

We partner with trusted utility management companies to offer: 

  • All-inclusive packages: One simple monthly payment covering rent and all utilities 

  • Flexible billing options: Including split billing for shared accommodations 

  • International payment methods: Supporting transfers from multiple countries without excessive fees 

Support Services 

  • Utility Setup Assistance: Guidance for international students unfamiliar with UK utility systems 

  • Bilingual Support: Available in multiple languages to ensure clear understanding 

  • Dedicated Account Managers: Personalized help with accommodation and utility questions 

Council Tax Exemptions for Students 

Most full-time students are exempt from Council Tax, representing a significant saving (average annual Council Tax: £1,500-£2,000). 

Claiming Your Exemption 

  1. Obtain a student status letter from your university 

  1. Submit it to your local council via their website 

  1. Ensure all household members are students to receive full exemption 

International Student Eligibility 

To qualify for the student Council Tax exemption: 

  • Your course must last at least one academic year 

  • You must study for at least 21 hours per week 

  • Your institution must be recognized as a qualifying educational establishment 

Budgeting Effectively for UK Utilities 

Understanding and managing utility costs is an essential skill for international students in the UK. With average monthly utility expenses ranging from £170-£240 per person, proper budgeting can significantly impact your financial wellbeing during your studies. 

By considering regional variations, exploring bills-included options, implementing energy-saving practices, and understanding your exemption rights, you can minimize these costs while maintaining a comfortable living environment. 

At Student Tenant, we're committed to helping international students navigate the complexities of UK accommodation, including utility management. Our transparent listings, specialized support, and exclusive bills-included packages can simplify your experience and help you focus on what matters most—your education. 

Ready to find accommodation with clear utility information? Browse our listings or contact our international student support team for personalized assistance with your accommodation search. 

This guide is updated with the latest information as of May 2025. Utility prices may change based on market conditions and regulatory adjustments.