Energy theft is a growing issue that can cause significant financial losses, legal complications, and safety risks for landlords and homeowners alike. Whether you’re renting out a property or simply trying to maintain your own home, it’s crucial to be aware of the signs of energy theft and take the right steps to prevent it.
In this guide, we’ll explain what energy theft is, how to spot it, and the key steps you can take to avoid falling victim to it.
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What is energy theft?
Energy theft, often referred to as ‘meter tampering’, involves the illegal manipulation of gas or electricity meters to reduce energy bills or avoid paying them altogether. This includes bypassing meters, tampering with cables, and hacking smart meters. According to UK government estimates, energy theft costs the industry around £400 million per year, which in turn increases energy bills for law-abiding customers.
For landlords, energy theft can result in extra costs, property damage, and potential legal repercussions if an unsafe setup leads to an accident. For homeowners, the potential financial losses and safety hazards are just as concerning.
Related: The Renters Rights Bill – What does it mean for you?
Signs of energy theft
Being able to identify the red flags of energy theft is the best way to safeguard against it. Here are the key things to look out for:
Unusually low energy bills
If you notice that energy bills for your property are unusually low, this could be a sign of tampering. It’s worth investigating whether the meter is functioning properly.
Damaged or missing seals
Check your electricity or gas meters regularly. If you notice any damage to the meter or if security seals are broken, missing or look tampered with, there may have been an illegal attempt to alter the meter.
Suspicious wiring or piping
In more serious cases, you might notice exposed wiring, unusable cables, or makeshift connections around the meters. This is a clear indication that something isn’t right, so it’s important not to touch anything – instead, report your findings to your energy supplier immediately.
Frequent power cuts or fluctuations
If you experience regular power cuts or fluctuations, such as lights flickering, this could be a sign of illegal meter bypassing. It could also be dangerous, as faulty tampering increases the risk of electrical fires.
Unexplained high energy usage in a communal area
If you own a multi-occupancy property, such as an HMO (House in Multiple Occupation), and notice high energy usage in communal areas, someone may be illegally tapping into the property’s supply.
Related: What to do with utility bills and council tax when you move house
Steps to prevent energy theft
Energy theft can be damaging, but there are several steps you can take to prevent it. Here’s how you can protect your property:
Regular meter inspections
Conduct regular visual inspections of your property’s meters, both gas and electric. Look for any signs of tampering, damage, or suspicious alterations. Keeping a close eye on the condition of your meters can help you spot any problems early.
Install smart meters
Smart meters not only give you more accurate readings, but they’re also more difficult to tamper with compared to traditional meters. Many energy suppliers in the UK now offer free smart meter installations, which can help you stay on top of energy usage and spot unusual activity.
Educate tenants and neighbours
If you are a landlord, educate your tenants about the signs of energy theft and encourage them to report any suspicious behaviour. Similarly, homeowners should maintain open communication with neighbours, who might spot unusual activity around their property.
Secure your meters
Ensuring that gas and electricity meters are in a secure location, such as in locked cupboards or areas that are difficult to access, can reduce the risk of tampering. For landlords, this is especially important in multi-occupancy buildings.
Work with trusted contractors
If you need to carry out electrical work, always use a reputable, certified electrician and gas engineer. Rogue contractors are sometimes involved in illegal energy bypassing, so always check credentials and ensure that work meets safety standards.
Report suspicious activity
If you suspect energy theft, report it immediately to your energy supplier or ‘Stay Energy Safe’ – an anonymous reporting service for energy theft. The sooner you take action, the less likely it is that the issue will escalate.
Legal implications for landlords
As a landlord, you have a duty of care to provide a safe environment for your tenants. If energy theft leads to a fire or injury, you could be held liable, especially if you failed to take appropriate precautions. Additionally, landlords who knowingly allow energy theft to continue without reporting it could face legal repercussions, including fines or even imprisonment.
If you suspect energy theft, report it immediately through the Stay Energy Safe helpline at 0800 023 2777 or visit the Stay Energy Safe website.
For more advice, contact your local Ellis & Co branch today
