What bills do you pay when renting?

Council tax

If you rent a whole home, you pay council tax to the council, unless the tenancy says the rent includes it. The bill depends on the home’s band and the council. If you live alone you get 25% off, and a home where everyone is a full-time student is usually exempt. Neither happens automatically: you apply to the council.

In a shared house where each of you rents a room on a separate agreement, the landlord is liable, not you, and usually builds it into the rent. Look up a home’s band with our council tax band checker, see what each band costs on council tax bands for every council, and read who pays council tax when renting.

Gas and electricity

If you pay the energy bills, you can switch supplier or tariff at any time. Some tenancies name preferred suppliers; Ofgem says that list can be changed. If the landlord pays the energy, the cost should be in the rent.

What you pay depends far more on the home than on the price cap: how well it holds heat and what heats it. The energy rating tells you both before you sign.

Water

You pay the water company for your area; you can’t choose another. It sets the charges within limits Ofwat sets for 2025 to 2030. Without a meter, the bill is based on the value of the home. With a meter, you pay for the water you use plus a standing charge. In England you can ask for a meter to be fitted when you rent, though it is worth telling the landlord first.

Broadband and the TV licence

Broadband is usually yours to set up. Check what reaches the address before you move, not just the area, so you aren’t without a connection for weeks.

A TV licence costs £180 a year. You need one to watch or record live TV on any channel or service, or to use BBC iPlayer. You don’t need one only for Netflix, other on-demand services, YouTube or DVDs.

Insurance

Buildings insurance is the owner’s cost. It doesn’t cover your belongings. Contents insurance is your choice, and a landlord can’t make you buy it. More in contents insurance for renters.

Service charges, ground rent and repairs are the landlord’s

A leasehold flat comes with a service charge and often ground rent, owed by whoever owns the lease. That is your landlord. The Tenant Fees Act lists the only payments a landlord can require from you. For bills, those are energy, water, broadband and landline, council tax and a TV licence, and only where the tenancy agreement makes them yours. A service charge or ground rent is not on the list. The landlord may set the rent to cover them.

Repairs to the structure and outside, heating and hot water, gas appliances, wiring, sinks, baths, pipes and drains are also the landlord’s, as are most shared areas such as stairs in a block of flats.

“Bills included”: what to check

• Which bills, by name. Council tax and the TV licence are often left out.
• Whether there is a cap or “fair use” limit on energy, and what you pay above it.
• That it is written in the tenancy agreement, not only in the advert.
• Who you call when the broadband or heating stops working.

Under the Tenant Fees Act, a landlord can’t charge you for a bill the rent already covers. If the landlord charges you separately for gas or electricity they buy, Ofgem’s resale rules say they can’t charge more than they paid for it. An all-in rent is worth more in a cold, inefficient home and less in a well-insulated one.

Renting a room in a shared house

When rooms are let on separate agreements, bills are usually in the rent. The landlord is liable for the council tax. For the TV licence, TV Licensing says you need your own if you watch live TV or iPlayer in your room; on one joint tenancy, one licence covers the house. Larger shared houses need a licence from the council: you can check if a house needs an HMO licence.

On the day you move in

• Read the gas, electricity and water meters, take dated photos, and send the readings to each supplier. A smart meter in smart mode sends its own.
• Ask the landlord or agent who supplies the energy. You start on the current supplier’s standard tariff, and can switch from there.
• If there is a prepayment meter, call the supplier before you put any money on it, so you don’t pay off the last tenant’s debt.
• Tell the council and the water company the date you moved in.
• Book broadband early, and buy a TV licence if you need one.

Everything else to do in the first weeks is in our new tenancy checklist.

How much to budget for bills

On the latest published averages, energy, council tax, water and broadband come to about £387.21 a month. That is before a TV licence, contents insurance and your phone. It is a starting point, not a quote: a band A flat with a new boiler and a band F house with storage heaters are nowhere near each other.

Each figure and where it comes from is in average household bills. To see whether the rent and the bills together fit what you earn, use how much rent can I afford.

Where this comes from

Payments a landlord can charge: Tenant Fees Act 2019, Schedule 1 and GOV.UK’s statutory guidance on the Act. Council tax: GOV.UK’s who has to pay, its information letter on houses in multiple occupation and council tax levels in England, 2026 to 2027. Energy: Ofgem’s price cap rates for 1 October to 31 December 2026, its advice on switching as a tenant and its maximum resale price guidance; Citizens Advice on energy when you move home. Water: CCW on how bills are worked out and meters for renters, Ofwat’s 2024 price review, and Water UK’s average bill for 2026/27, published by Discover Water. Broadband: Ofcom’s pricing trends. TV licence: GOV.UK and TV Licensing for tenants. Repairs: GOV.UK’s private renting repairs.

This guide covers common private tenancies in England and is general information, not legal advice. Different rules apply in Scotland, Wales and Northern Ireland, and to lodgers, social housing and some specialist accommodation.