What bills do I need to pay when I own a house?

Keeping on top of household bills is a key part of maintaining financial security and stability. Beyond mortgage payments, there are multiple other expenses that need attention to keep your budget balanced.

Here’s an overview of essential bills and some strategies to make your finances more efficient:

Council Tax

Council tax is a compulsory payment for homeowners or renters in the UK. The amount varies depending on the property’s size, location, and other factors. Payments start from the day you move in.

You may qualify for a discount on your council tax. People typically disregarded for discounts include:

• Individuals in certain apprenticeship programs
• 18 or 19 year olds in full time education
• Full time college or university students
• Student nurses
• Those with severe mental impairments

Check the official government website to confirm your council tax band and costs.

Home Insurance

Building Insurance

If you have a mortgage, lenders usually require building insurance. For homeowners without a mortgage, it’s not legally required but it’s strongly advised. Building insurance protects you from costly repairs due to incidents like fire or flooding.

Contents Insurance

Contents insurance isn’t mandatory, but experts recommend it. This insurance covers your personal belongings in case of theft, fire or accidental damage, helping you avoid significant replacement costs.

Reducing Energy Bills Through Efficiency

Cutting utility bills is a practical way to lower household expenses. Monitoring energy usage can lead to noticeable savings over time. Small adjustments like turning off unused devices and switching to energy-efficient lighting can reduce costs and benefit the environment.

Lighting

• Use LED bulbs. They consume up to 80% less energy and last longer.
Turn off lights in unused rooms. Motion sensor lighting works well for less frequented areas.

Electricity

• Identify high energy appliances, such as washing machines and dryers and run them during off-peak hours.
• Smart home technology like thermostats can help track and reduce energy use.
• Take meter readings when moving into a new property to prevent overcharging.

• Modern builds often include water-saving fixtures, such as dual-flush toilets and low-flow showers, along with water meters to ensure you pay for actual usage.
• Reduce water consumption by limiting shower time, fixing leaks and using appliances during off-peak hours.
• Collect rainwater with a water butt for gardening or outdoor cleaning.

Connectivity

Broadband

• Fibre-optic connections are common in new builds, though some estates tie residents to specific providers initially. Always check your developer’s terms.
• Compare rates online to find competitive offers. New customers may receive incentives like cash back, gift cards or free installation.
• Watch for automatic price increases after the first year and set reminders to renegotiate or switch.

Mobile Phones

• Coverage can be patchy in new developments. Check signal maps before choosing a provider.
• SIM-only plans are cost-effective if you already own a phone. Family plans can reduce costs across multiple devices.
• If traveling abroad, review roaming fees.

TV Licenses

• Watching live TV requires a license, which is £174.50 per year as of July 2025.


 
 


Service Charges / Estate Fees

Many new build communities have service charges to cover the upkeep of shared spaces, landscaping, and roads. These fees are mandatory and reviewed annually by the management company.

Direct Debits

Setting up direct debits helps ensure timely payment of household bills, avoiding late fees and protecting your credit score.

Making Your House a Home

New build homes often come as a blank canvas. Budget early for essentials like curtains, lighting and furniture to reduce financial pressure.

• Take advantage of seasonal discounts, voucher codes and cashback offers.
• Explore second-hand options from charity shops, online marketplaces or auctions.
• DIY and upcycling projects can save money while adding personal touches.
• Prioritise functional over premium brands unless necessary.

Additional Tips

To manage bills efficiently and boost savings:

• Use price comparison tools for financial products.
• Review bills regularly to ensure you’re getting the best rates and new customer deals.
• Share money-saving ideas with friends and family.
• Pay via direct debit and opt for e-statements to access discounts.
• Consider upfront payments for insurance to reduce costs.
• Verify your council tax band and explore monthly payment options.
• Contact providers to negotiate better tariffs.
• Track all income and expenses to identify savings opportunities and set financial goals.