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British Gas Business account. Roll on account.

by daisy13 07 March 2010 |

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I ma on a roll on contract with B.G. which is for 2 years. I have not signed a contract with them and have only just realised the sudden increase in prices.I have been paying a set monthly fee of £200.00 and now find that I owe them nearly £5000. as the set amount was no where near covering my usage. Am I tied into this contract or can I change providers? Also should they have a responsibility to set my monthly payment according to usage so as not to run up a big bill, which is what I thought was happening.

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MikeGG1 posted
I suspect that you are paying by standing order rather than direct debit.
They should normally adjust direct debits but you are responsible for changing a standing order.
However best practice should have resulted in them warning you to change the standing order unless they haven't been getting meter readings.
It will be difficult for you to change providers before you have cleared the debt. However, all providers have increased rates substantially over the last couple of years.
Mike
Posted on 07 March 2010 | Love 0 loves Report
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bellini posted
Good advice Mike GG1!

When you're ready Daisy, it's worth looking around to see if you
can save by changing providers. Check how much you could save by using
the calculators on our utilities centre here.

There's also more information about saving on your enery bills in general in our goal here.

Good luck!
Posted on 08 March 2010 | Love 0 loves Report
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Swarbs posted
You are not the first one to be caught out by the recent price rises. As far as I am aware, the responsibility for checking the bills is a joint one - you should have checked your bills against your meter reading on a regular basis to ensure you were paying the right amount. However, British Gas should also have carried out regular meter readings and kept your standing order up to date. If they have taken these readings, or would have been able to take them (i.e. you didn't prevent them from taking readings by not allowing them access to the meter when they called) then they should offer you a reasonable repayment plan to clear the debt. If they don't offer you a reasonable repayment plan, then make a formal complaint and follow that up with a complaing to the Energy Ombudsman:
http://www.ofgem.gov.uk/Consumers/Pages/Bc.aspx
Re: switching providers, I don't think the outstanding debt should prevent you from switching. Provided you can agree a repayment plan, you can switch to a new provider whilst still paying off the British Gas arrears. At least that is the situation for individual consumers, I'm not sure if the situation is the same for businesses.
Posted on 08 March 2010 | Love 0 loves Report
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SmudgeButt posted
Daisy - I'm confused. You say you've been with BG for 2 years, have paid them £200 a month during that time and yet you have an outstanding bill of £5000?
My combined gas and electric (not with BG but the prices wouldn't be hugely different) is about £70 per month. I can only assume you have a massive house that includes an uncovered outdoor swimming pool which you have heated as bath water!!
Or have I missed something? Have you checked that you are being billed just for your flat/house/village? Did you check your meter reading when you moved in so that you wouldn't be covering a previous owners utilities?
Posted on 08 March 2010 | Love 0 loves Report
272

Swarbs posted
SmudgeButt, she has a business account, so she could be powering industrial machinery or heating and lighting a large office. That'll chew up a whole lot of gas!
Posted on 08 March 2010 | Love 0 loves Report
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mbum posted
In your original contract with BGB (including the verbal contract), there was an automatic roll over terms which is why you are tied into contract. Normally BGB sent you renewal letter 120 days before the contract ending date with the renewal price and terms and allow you to terminate the contract within the next 30 days. You need to send them written termination notice by 90days before the contract ending date.
I believe that when you have taken the contract from BGB, they wrongly estimated your annual usages. Normally their meter reader comes to read the meter and they update your annual estimation. However in your case, you may have received estimated bills - your bill is estimated if you see capital E besides your meter reading.
Direct Debit is your instruction to your bank to pay a certain amount of money every month, so company can not increase or decrease that amount unless it is a variable direct debit.
Rolled over contract is also a contract so you can not change your supply to other company until your contract end with BGB. If your contract has rolled over after 18th January 2010, you can terminate your contract by giving written notice at anytime before 90 days of your contract ending date, you do not need to wait to receive the renewal letter from BGB but you have to wait until the contract ending date switch your supplier.
Hope it will help. I can give you better advise if I could see your bills and know your payment history, current meter reading and the date you signed the original contract. Free of charge.
MRIDA
Business Energy Consultant
Posted on 22 August 2010 | Love 0 loves Report

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