More Americans are struggling to pay their utility bills, signaling potential economic trouble and creating another political challenge for President Trump, according to a new analysis of consumer data reported by the AP.
Past-due balances to utility companies rose 9.7% year-over-year, reaching an average of $789 between April-June 2025 compared with the same period in 2024, according to research from The Century Foundation, a liberal think tank, and the advocacy group Protect Borrowers. During that time, monthly energy bills jumped 12%. Consumers typically prioritize paying utilities alongside mortgages and auto loans, said Julie Margetta Morgan, the foundation’s president. Rising energy costs and delinquencies may indicate that Americans are falling behind on other bills as well.
The analysis, based on data from the University of California Consumer Credit Panel, shows that nearly 6 million households have utility debt severe enough that it could soon be sent to collection agencies. The situation presents a political challenge for Trump, who has promoted expanding the artificial intelligence industry as part of an economic growth plan. But AI data centers consume massive amounts of electricity, which could further drive up energy costs for everyday Americans.
The utility struggles come amid broader voter concerns over the high cost of living. At a McDonald’s event on Monday, Trump discussed the economy and affordability issues, saying, “We have it almost at the sweet spot and prices are coming down on different things,” and noting that inflation has been “normalized” at a “low level.” Following disappointing Republican results in recent off-year elections, Trump has emphasized falling prices as a sign of economic progress. Still, surging electricity bills could pose political risks in key congressional districts ahead of next year’s midterm elections.