UK households told to stop wasting £850 a year on bills–save in 1 hour | Personal Finance | Finance
Young woman saving money in piggy bank (Image: Getty)
Times are difficult and the UK is at an all time crossroads under the current political climate. Household bills are set to soar and we could see an increase by £288 in our energy bills as the conflict in the middle-east rages on.
The cost of living crisis persists and Easter Sunday is on its way. This means a mandatory roast will plate many tables, but experts warn that ingredient costs are spiking up to 30% this year. As such, it seems budget cuts may be the only option for many British households now more than ever, and experts are examining what can be done to save money.
Taking less than an hour out of your day could put over £850 back into your pockets, says comparison experts at Free Price Compare.
1. Broadband — save up to £203 a year
This month marks an increase in Broadband bills, with major providers including BT, Virgin Media, TalkTalk and Plusnet all implementing price surges of up to £4 a month, an inflation-busting increase of around 11% for some customers.
Roughly £31 a month is the average cost of broadband in the UK and out-of-contract customers are typically paying significantly more. Those on legacy BT contracts pay around £50 a month, while Virgin Media out-of-contract customers pay around £45 a month.
Millions of broadband customers are currently out of contract and free to switch without penalty. By switching to a new deal, customers can save an average of £203 a year simply by resetting their contract with a new provider.
Shay Ramani, spokesperson at Free Price Compare, says: “Broadband is one of the easiest wins for households right now. If you haven’t switched in the last two years, there’s a very good chance you’re paying over the odds.”
2. Mobile phone contract — save up to £304 a year
Mobile Phone Section In Tech Retail Store (Image: Getty)
Under similar strain are telephone bills and millions of UK mobile customers are currently out of contract.
Customers who have carried through to the end of their handset contract, are typically paying for a device they have already paid off.
Scrapping that out-of-contract deal and switching to a SIM-only plan can save customers an average of £304 a year, data shows. SIM-only plans make up around half of all mobile contracts, and deals are increasingly competitive, with many offering generous data allowances at a fraction of the cost of traditional handset contracts.
Free Price Compare recommends checking your contract end date and comparing SIM-only deals as a priority.
3. Car insurance — save up to £87 a year
Marking the lowest level since March 2023, average comprehensive premiums have dropped by 13% over the last year to around £607.
Meaning, drivers who haven’t examined the market recently, could be stuck on a rate that no longer represents current pricing, according to comparison experts.
However, not everyone is benefiting. Industry data shows that 42% of drivers who received renewal quotes between September and November 2025 still saw their prices spike roughly by £72. Of those drivers, 47% shopped around and switched insurers, saving £87 on average.
“Running a quick comparison up to 28 days before your renewal date is one of the most straightforward ways to cut costs”, said Ramani. They also advise drivers to consider increasing their voluntary excess, paying annually rather than monthly, and ensuring their declared mileage accurately reflects actual usage — all of which can further reduce premiums.
4. Home insurance — save over £120 a year
The average UK combined home insurance policy currently costs around £379, according to the latest ABI Property Insurance Premium Tracker data. Despite prices easing slightly from their 2024 peak, loyalty remains poorly rewarded in the insurance market.
Shopping around at renewal can save households over £120 annually, as new customer rates consistently undercut renewal prices across most major insurers. Free Price Compare recommends reviewing home insurance every year at renewal, rather than letting it auto-renew. Even a five-minute comparison could put meaningful money back in your pocket.
5. Energy — save up to £150 a year
Surprisingly, energy bills are falling for the first time in a year. April 1st marked the day Ofgem energy price caps fell to £1,641 per year, for a typical dual-fuel household paying by Direct Debit. This is a decrease of 6.6%, compared to the previous quarter.
However, households on a standard variable tariff are still not necessarily on the best deal available and can save up to £150 a year on a fixed tariff, according to energy experts
Lowering your thermostat by just one degree can save around £90 a year, while installing a smart meter helps households monitor and reduce usage in real time.
Shay Ramani adds: “With fixed tariffs now offering competitive rates below the cap, and the cap itself forecast to potentially rise again from July, locking in a deal now could protect households from further increases later in the year.”
Switching your broadband, mobile plan, car and home insurance and reviewing your energy tariff could save the average UK household over £850 a year, without sacrificing quality. That’s enough for a holiday, groceries, or simply easing budget pressure.
The key is to act, especially if you’re out of contract on broadband or mobile and likely overpaying. With bills rising, there’s no better time to spend an hour reviewing your costs.
