British Gas demanding over £2700 for 10 months electricity usage in a studio flat???!

[janet.c]

Hi all,

Please can someone help... I am extremely stressed about this matter with British Gas which has been going on since June 2013 and this is making me go insane....!

So, first thing first, the studio flat I currently live in and have been living in since 8th November 2012 was occupied by an education group until year 2010, along with all other apartments in this building, and they have put the electricity supply onto business rates. However, from what I have heard from my estate agent, both the education group and the estate agent have advised British Gas on the moving out of the group AND to request for the accounts to be switched back to being residential. But since then, according to my estate agent, they have been having problems with British Gas regarding the bills the occupiers of the apartments in this building have been receiving.

So I moved in on the 8th November 2012. I have not received a single bill until June 2013, which was demanding for over £2000 of payment for the electricity supply to be made on a business account, apparently under my name. My estate agent and I have been trying to get this thing resolved ever since June 2013 but had no luck. The next thing I knew was that I started receiving letters from debt collecting companies so I went to my estate agent. We explained my situation to the debt collectors and British Gas, and they said they will investigate the matter. However, I had no feedback from them and started receiving letters from another debt collecting company. So the process start all over again, having my estate agent and I trying to explain about the matter again and again through the past year.

Then in August 2013, with the threat of my electricity supply being disconnected if I didn't pay them, I called British Gas and asked for my account to be transferred to residential first and the matter under the business account can then be dealt with separately. I have been paying my electricity bills ever since.

I am now dealing with the 2nd? or 3rd? debt collecting company without any luck in getting the matter resolved. This morning, I have tried the process all over again. First I contacted the debt collecting company, Past Due Credit Solutions, and they said they will look into it with British Gas. Then I contacted British Gas and got the respond that they will not take any action to adjust my bill, that all they can do is to offer me a payment plan.

Now, I am the only person living in this studio flat, with no special electrical appliances that have heavy electricity consumption. All I have is normal appliances like boiler, heater, hobs, oven etc. I do not understand whatsoever how they can charge me for electricity usage of over £2700 from November 2012 to September 2013, which is only 10 months. Whereas for the current year since September 2013 when I switched my account to residential, my winter bill was only £315. Times that by four quarters, the absolute most I am liable for, if I have used as much electricity in summer as in winter, would be £1260. But my other bills have only been around £200.

I have the in-going meter readings when I moved in, and I have the meter readings on the 17th September 2013 when I have my account switched to residential. I am absolutely happy to pay for what I have used but not on a business rate..! and definitely not over £2700! All I want is a fairly revised bill!!

I am really confused as to what actions I should take now since I tried contacting Ombudsman today as well and the person said they cannot intervene since British Gas has not put a deadlock on the case.. Please can I have someone kindly advise me on what I should do right now? All these have also happened throughout the final year of my undergraduate study and I am getting really tired of this..!

I am also looking to apply for UK citizenship since I have been in the UK for 12 years and I am so scared that this may have negative impacts on my application and my credit score as well!

Thank you in advance and I look forward to hearing from you all...!

Kind regards,
Janet

[bluebottle]

Re: British Gas demanding over £2700 for 10 months electricity usage in a studio flat

BG need to explain why you were on a commercial tariff when you first moved in. You should have been on a residential tariff from the outset.

In my opinion, they are treading on dangerous ground making the demands they are making when they repeatedly refuse to engage and have consistently failed to explain why you were on a commercial tariff. They need to explain this first.

It is possible you may need to go to court to force BG to comply. Hopefully, that will not be necessary.

[janet.c]

Re: British Gas demanding over £2700 for 10 months electricity usage in a studio flat

British Gas was denying today when I talked to them that they had sufficient documents to prove that I moved into the property on the 8th November 2012 and consequently did not switch my account to residential. However, my estate agent has proof of her submitting a letter/ email when I moved in, stating that I am moving in..! This was sent along with another letter/ email to the westminster council notifying them of my moving in and that the council had no problem receiving it.

So what should I do now? Because I have been in contact with British Gas ever since receiving my first bill in June 2013 and they have not taken any action to even try resolving the matter except of demanding me to pay the amount in full or with a payment plan. Also, they have been saying repeatedly that business rates are cheaper and it is in my favour to pay the amount...?

I have asked them to send me a revised bill with the amount of electricity I have used for the period November 2012 to September 2013 calculated at residential rates today. But all I am getting from them is they will not adjust the bill whatsoever and all they can do is to offer me a payment plan of as long as I wish even up to 36 months since they "understand that I am not at fault".....

What should I do now..? I am extremely scared.. being a student dealing with all these during my final year, and am going onto doing masters and still have to deal with all these debt collecting companies..? I am in no financial position whatsoever to pay off over £2700...

[des8]

Re: British Gas demanding over £2700 for 10 months electricity usage in a studio flat

I don't know whom you have been in contact with at BG, but to progress this you need to make a complaint to them at: Customer Care Team, British Gas Business, Spinneyside, Penman Way, Grove Park, Leicester, LE19 1SZ..
If you are unhappy with the response from this section you then complain to :Customer Services Director, British Gas Business, Spinneyside, Penman Way, Grove Park, Leicester, LE19 1SZ.

If you are still dissatisfied with their response they should send you a deadlock letter so you can contact the ombudsman.
If they don't send the deadlock letter you can refer to the ombudsman if the matter is unresolved after 8 weeks.

I'm sure you'll get assistance from here if you want it to draft your letters.
Good luck

[bluebottle]

Re: British Gas demanding over £2700 for 10 months electricity usage in a studio flat

It looks to me that BG seem to be under the delusion the law does not apply to them. The onus is on them to prove you owe the money they say you do and, so far, they have failed to do so.

Have you spoken to Ofgem yet? They are the regulator for the energy industry. Your MP may also be able to help you deal with this.

I am going to bump this thread for other LB members to look in and advise also.

B U M P

[janet.c]

Re: British Gas demanding over £2700 for 10 months electricity usage in a studio flat

des 8,
how should i go about in the email..?? I have never been in this situation before...!

bluebottle,
I haven't been in contact with anyone about this apart from my estate agent and Ombudsman (called them for the first time today)... because I really did not know what to do and who I can seek advices from..! I only knew of Ombudsman today through CAB (the security of the development heard of my case and asked me to get in contact with them today)...

So I should contact Ofgem? and the MP?

[janet.c]

Re: British Gas demanding over £2700 for 10 months electricity usage in a studio flat

I haven't been in contact with anyone about this apart from my estate agent and Ombudsman (called them for the first time today)... because I really did not know what to do and who I can seek advices from..! I only knew of Ombudsman today through CAB (the security of the development heard of my case and asked me to get in contact with them today)...

So I should contact Ofgem? and the MP?

[bluebottle]

Re: British Gas demanding over £2700 for 10 months electricity usage in a studio flat

Des8's advice is sound. Contact those departments at BG he advises. If you go to the Ombudsman, they will need to see evidence you have done everything possible to resolve the problem with BG before asking the Ombudsman to intervene.

If BG still persist, then ask for a deadlock letter. This will result in BG being charged by the Ombudsman for investigating your complaint. You will not be charged.

Definitely get in touch with your MP. Many MPs are not happy with the way in which the energy industry treats its customers and your case is the sort that provides them with the ammunition to clamp down on the industry's bad practices.

Also, get in touch with Ofgem. They are the regulator for the energy industry. Have you thought of contacting one of the consumer programmes on television? Large companies hate bad publicity.

[des8]

Re: British Gas demanding over £2700 for 10 months electricity usage in a studio flat

Unfortunately before any regulators look at problems they require you to go through the procedures offered by the utility.

In post 1 you said you and the agents had tried to sort the matter with BG, but with no sensible response.

You must now write a letter of complaint to the Customer Care Team as post 4 above setting out what you told us above, and insist that as they have details of the electricity used they must recalculate your costs at the relevant cheapest domestic tariff for that period, and whilst they are about it, as the account is in dispute they must stop chasing for payment, and then they can offer compensation for the stress caused. Send letter "signed for".

If that gets no satisfactory result, you escalate the matter to the director, and then if that fails the ombudsman can be approached.

[enquirer]

Re: British Gas demanding over £2700 for 10 months electricity usage in a studio flat

Do not deal with British Gas via telephone or email. Conduct all correspondence in writing. Keep copies and send anything important by Recorded Delivery.

[CreativeType]

Re: British Gas demanding over £2700 for 10 months electricity usage in a studio flat

I assume that it is British Gas "Business" that is the cause of your issues?

If so, the Managing Director of British Gas Business is Stephen Beynon. His email address is Stephen.Beynon@britishgas.co.uk. He is friendly enough, although wasn't particularly helpful in my case! It might speed things up to send your complaint directly to him as well as the official address. I never got a response from the official channels!

Regarding consumer protection bodies; OFGEM will tell you that they only deal with issues of market competitiveness and so won't help. The OFT will tell you they don't deal with individual complaints. The Ombudsman will tell you that the route of your complaint is more than 8 months old so they "can't" help.

My guess is that they had you on "deemed contract" rates, which is their highest tariff for those that do not "negotiate" a contract. Others are better qualified to offer legal advice, but now knowing what I know about how BG operate, I would be inclined to write to them clearly stating that the amount is disputed (thus blocking off any bankruptcy action), offering them the payment that you think is right along with a "take it or sue me" stance. I suspect British Gas will be too shy to take it to court no matter how many threats they make.

CT
------------------------------------------------------------------------------
http://britishgasnightmare.blogspot.co.uk/

[janet.c]

Re: British Gas demanding over £2700 for 10 months electricity usage in a studio flat

update:

thank you very much for all your advices! I e-mailed the MP and one of her team member got back to me and said he's raised the case to British Gas's executive complaint team. I am just waiting for their responses now. But apart from this, I have had no responses at all...