Setting up bills: how to split costs with housemates
Moving into a private rental means taking responsibility for your own utilities. You must establish a reliable system for dividing costs before any bills arrive.
Decide how to split the costs
Discuss financial responsibilities with your housemates on day one. You have three main options for managing shared expenses. You can nominate one person as the lead tenant to manage all direct debits. You can use a dedicated bill-splitting service that charges each person individually, or two of you can open a joint bank account specifically for household expenses.
Nominating a lead tenant requires complete trust, and the person named on the utility account holds sole legal responsibility for the debt. If housemates pay late, the lead tenant must cover the shortfall or face late fees. Avoid this method if you have any doubts about your housemates’ financial reliability.
Bill-splitting companies bundle your energy, water, and broadband into one monthly payment per tenant, and they charge a fee for it. Fused puts its management fee at about £1.03 per person per week for a house of four. Check the terms before you sign, because with some firms an unpaid share can be split among the rest of the house.
Open a joint account or use a bill-splitting app
A joint household account offers a transparent middle ground. Every tenant sets up a standing order to transfer their share of the monthly bills into the joint account three days before the direct debits clear. This ensures the money is always available.
Check out our bills splitter tool to calculate exact monthly contributions for each housemate based on your total estimated costs.
If you choose a joint account, either holder can usually move money, arrange an overdraft, or close the account without asking the other. Banks such as Lloyds allow only two holders, and a joint account links your credit files. Keep the account strictly for essential utilities. Never use it for groceries or personal expenses.
Setting up energy bills for your student house
Energy will represent your largest utility expense, and you must secure a supplier and register your details immediately upon moving in.
Find your current energy supplier
Properties already have an active energy supply when you move in, and you must identify the current provider to set up your account. Ask the letting agent or landlord for this information during your property viewing or key collection.
If the landlord does not know the supplier, you can find out yourself. For gas, use the Find My Supplier service. For electricity, use the Energy Networks Association tool online to find your network operator, then search the operator’s website for your supplier.
Contact the current supplier by phone or through their website and tell them you are the new tenants. Provide your move-in date and the name or names you have agreed to put on the account, because everyone named can be chased for the whole bill.
Take meter readings on moving day
Locate your gas and electricity meters as soon as you open the front door, and take clear photographs of both meter dials showing the numbers and the surrounding serial numbers. Submit these readings to your current supplier immediately.
Failing to submit move-in readings means the supplier will estimate your usage, and you could end up paying for energy consumed by the previous tenants.
Keep these photographs backed up on your phone until you receive your final bill at the end of the tenancy. They are your proof of the starting readings if the bill is disputed.
Choose the right energy tariff
You do not have to stay with the property’s current energy supplier. Once you register your details, you can switch to a cheaper provider or a better tariff.
Compare fixed-rate and variable-rate tariffs. A fixed tariff holds your unit rate and standing charge for the length of the contract, usually 12 months, so neither moves when the cap does. A variable tariff fluctuates based on the Ofgem price cap. Review your options using a comparison site and switch if you find a better deal.
Arranging broadband when setting up utilities
Internet access is essential for university coursework and streaming. Check your tenancy agreement to see whether broadband is included in the rent.
| Broadband Type | Good For | Ofcom Speed Band |
|---|---|---|
| Standard | Basic browsing, email, and standard video | Up to 30 Mbps |
| Superfast | Most everyday use, including video calls and streaming | 30 to 300 Mbps |
| Ultrafast | Several people online at once, gaming, and large downloads | 300 Mbps or more |
Compare and order broadband early
Virgin Media says to order at least two weeks before you need the connection, because a first installation at an address can take that long. Order your package before you move in to avoid spending your first month relying on mobile data hotspots.
Check the maximum speeds available at your specific postcode. For a full student house, Ofcom points to the ultrafast band. Fibre-to-the-premises (FTTP) offers the most reliable connection for multiple heavy users.
Broadband comparison tool
Find the fastest and cheapest internet packages for your student house
Look for student-specific broadband deals*. BT, Virgin Media, and Community Fibre sell 12-month student contracts, so you pay through the summer. Virgin Media and Hyperoptic also sell rolling monthly contracts that you can cancel when you move out. Compare the total cost of a rolling contract for the months you need against a 12-month deal.
Registering for water and council tax exemption
Water and council tax are tied to your local region. You cannot switch providers for these services. But you must still register your details.
Contact your regional water supplier
Your property is served by one regional water company, and sometimes a second for sewerage. Find yours with the postcode checker on the Water UK website.
Contact the supplier to set up your account. Check if your property has a water meter or charges a standard rateable value. A metered bill is a fixed standing charge plus a charge for the water you use. A rateable value bill is a set annual amount regardless of consumption.
If you have a meter, take a reading on moving day and submit it to the supplier. Set up a monthly direct debit to spread the cost evenly across the year.
Apply for your council tax exemption
Full-time students do not pay council tax. You must actively apply for this exemption. Local authorities do not apply it automatically.
Request a student status certificate from your university registry or download it from your student portal. Visit your local council website and work through to the council tax section. Complete the student exemption form and upload your certificate.
If you live with one non-student, the household loses the full exemption and gets a 25% discount instead. With two or more non-students there is no discount. The students do not owe the bill. In most shared houses in England it goes to the landlord, and otherwise to whoever is not a student.
Do this during your first weeks in the property. If a bill arrives first, you can still apply for the exemption.
Managing the TV licence and ongoing bill payments
The final steps involve legal requirements for broadcasting and establishing a routine for paying your providers.
Buy a TV licence if you need one
You need a TV licence if you watch or record live television on any channel. You also need one to use BBC iPlayer on any device, including laptops, tablets, and gaming consoles.
One licence covers the entire property if you have a joint tenancy agreement. If you have individual tenancy agreements for your specific rooms, you each need a separate licence for devices in your own rooms.
You do not need a licence to watch Netflix, Disney+, Amazon Prime, or catch-up services on platforms like ITVX or Channel 4, provided you are not watching live broadcasts. If your household strictly uses these services, declare that you do not need a licence on the TV Licensing website to stop the reminder letters.
Set up direct debits and track payments
Direct debit is cheaper than paying each energy bill when it arrives. Under the Ofgem cap for October to December 2026 the gap is about £138 a year for a typical household, and prepayment is about £45 a year cheaper still.
Schedule all your direct debits to leave your account on the same day each month. Align this date with your student loan drops or monthly wage payments. This prevents accidental overdrafts and ensures you always have funds available.
Review your bills every quarter. Energy suppliers base direct debits on estimated usage. If you use less energy than predicted, your account will build up credit. You can request a refund for this credit at any time. If you use more, the supplier will increase your monthly payments to cover the deficit.
Head to the student housing section on unisorted.co.uk for more resources on managing your tenancy and doing well at university.
Frequently asked questions
Do students have to pay for water bills?
In England and Wales, yes. Students in private rented accommodation pay for water unless the tenancy agreement says it is included in the rent, so register with your water company when you move in. Set up a direct debit to spread the annual cost into monthly payments. In Scotland water is charged with council tax, so a student house that is exempt from council tax can be exempt from unmetered water charges too. Northern Ireland households are not billed for water.
How do I find out who supplies my gas and electricity?
Ask your landlord or letting agent for the current supplier details. If they cannot help, the Energy Networks Association’s online tool will tell you your electricity network operator, whose website lets you search for the supplier. Use the Find My Supplier service to locate your gas company.
Can I change energy suppliers in a rented house?
You have the legal right to switch energy suppliers if you pay the bills directly. You do not need your landlord’s permission to switch providers or change tariffs. You do not need permission to change your meter either, but tell your landlord first and check whether your tenancy agreement says it has to be changed back when you leave.
What happens if one housemate refuses to pay bills?
If all names are on the utility account, you are jointly and severally liable for the debt. The supplier can pursue any named tenant for the full amount. If only one person is named on the account, that individual holds sole legal responsibility for paying the supplier.
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