Atlantic price increase

Kufu

petercurtis wrote: »

It is unlawful to notify customers of a price change after the event, as Atlantic and other retail energy suppliers are doing. The up to 65 day delay is allowed in condition 23.4 of OFGEM's Gas and Electricity Supply Licence Conditions that requires suppliers to notify customers of a price change. They have to be told! The licence conditions are a private commercial agreement between OFGEM and the retail energy suppliers. It is governed by the laws of England and Wales, and Scotland and N. Ireland respectively, as are the agreements between the suppliers and their customers. All the suppliers say so in their terms and conditions.

The Consumer Protection from Unfair Trading Regulations 2008 prohibit misleading consumers by act or ommission as to the price charged for goods and services and it is an offence punishable by fines and/or a prison sentence so to do. Customers are being mislead by the retail energy suppliers if the prices charged for the gas and electricity consumed by their households differ without their knowledge for any period from the prices last advised. Work out how much you have been overcharged since the date of the price change - the bill should separate the charges for fuels before and after the price change - and ask for a refund plus compensation. If your supplier prevaricates, get thee to the nearest small claims court.

Additionally, customers are paying for the billing service of their supplier as well as paying for the gas and electricity consumed. This service is subject to The Sale of Goods and Services Act (1982) and is unfit for purpose if it fails to meet the requirements of the trading regulations. This is an important point to make if you have to go to court and would warrant claiming a refund of part (say 10%) of the fuel bill.

Scottish and Southern Energy tried it on with me over the April price increase. When I eventually had to threaten legal action, it backed off. I got a refund of the overcharge and £25 compensation. I was given advance notice of the 25 August price increase which enabled me to take meter readings on the day of the change and avoid having to rely on an estimation of my fuel use before and after the price change date.

The suppliers know they are in the wrong and with OFGEM's connivance. They are not our friends. Incidently, changing energy supplier is futile and a waste of time. All the six major suppliers are members of the Energy Retailers' Association. Customers get the same treatment from all of them - I have dealt with four of them. If it looks like a duck, and quacks like a duck ...

This sounds an interesting point of contention.

So the 65 day notification period is a condition placed on the suppliers in their Licence Contract with OFGEM, and not a retrospective period given to suppliers in the contract with their customers by which suppliers may backdate price increases which they pass on to their customers.

Is that how I understand it?

lowey72

I am with Atlantic and will check out the comparison sites just to see, but at the end of the day they're all as bad as each other really!

Ive switched my supplier several times over the years and every time I have switched to a lower rate I have always received a letter only a few months later saying the prices are going up.
I dont doubt for one minute that switching away to another supplier which may appear cheaper right now probably wont be in a few months time. Is it really worth the hassle?

Cynical maybe, but more than likely true.

Oh and PS - I agree with what a lot of other money savers seem to be saying - avoid Npower like the plague! Their bills are hideously complicated and they are always changing prices so you get multiple lines on the bill which takes a genius to work out what you have actually been charged for. I was with British Gas years ago but they were always most expensive at the end of the day.

rubytwilight

I received my notice re price increase in October, find it shocking it is permitted to increase prices and leave such a gap before notifying customers and backdating on estimated usage to the increased tarriff.
I received a letter from Atlantic today advising my monthly direct debit would increase from £41 to £86 per month and I owed about £20.
The majority of my readings I called in to ensure they were accurate, last year I ended up £240 in credit and the home circumstances are no different.
I called Atlantic and explained my shock at this dramatic increase, the telephone staff member was lovely and said that the bill increasing to £56 would cover my usage and apologised for the letter.
Disgraceful that £30 a month extra on top of the increase was the suggested repayment, you wonder how many people would not call to discuss and be left in a very difficult financial position . Who wants to be a few hundred pounds in credit to their utility provider?

Neillgb

Strangely I got my loyalty bonus early!!!

I phoned Atlantic 2/3 weeks ago and was told that it would be due after November DD as this was the twelfth payment.

Can't complain.....or can I? Will I be getting a letter this month, prior to dd date increasing my dd payment which would have increased my bonus? Oh well, we'll see.

Afraid I will be leaving Atlantic though as by changing I will save myself approx £250 plus £20 via quidco.

NPower or BG unfortunately but for £270 probably worth the potential aggro.

magpiesaver

Like dekh above, I've now decided to stay with Atlantic rather than switch to British Gas. I've done this for 3 reasons:

1. It seems (according to switchwithwhich) that the comparison sites don't take into account Atlantic's annual "bonus" becaue not everyone would get it (e.g. if you left them before a year was up) whereas they do include other discounts that are built in to the tariffs, e.g. BG's.
2. I was planning to reject Atlantic's price rises when I switched, but BG's delay in sending out the Welcome Pack has thwarted this plan (the old supplier have to contact to new one within a limited time to confirm that they're taking over the supply).
3. I like Atlantic's customer service, whereas BG's seem poor.

Oh, and another thing: although I'm registered with Atlantic as an online customer for readings etc, they've pointed out I had not asked for "paperless billing" which will get me another 2% reduction. So there's another small saving, and there's now so little to be gained by switching that I've decide against it.

katie_-_lawyer

I have just rung Atlantic and their managers appear to be aware of this issue. I quoted the laws listed above and the 'UNFAIR CONTRACT TERMS ACT 1977' - This is important, as it states that contract terms must be fair. It is unfair to increase prices and then tell consumers.

I have had all the charges refunded and been offered an additional credit. I am happy with this and will stay with Atlantic. Their customer service is fantastic and I am surprised by how easy it was for me to resolve this issue. I did think I would have to write a lengthy legalise type letter but they solved the problem on the phone. Full marks! I can't see other energy companies doing the same.

If you are with Atlantic phone and complain. Hopefully if you quote the relevant law you will also receive a refund.

Premier_2

katie_-_lawyer wrote: »

I have just rung Atlantic and their managers appear to be aware of this issue. I quoted the laws listed above and the 'UNFAIR CONTRACT TERMS ACT 1977' - This is important, as it states that contract terms must be fair. It is unfair to increase prices and then tell consumers.

I have had all the charges refunded and been offered an additional credit. I am happy with this and will stay with Atlantic. Their customer service is fantastic and I am surprised by how easy it was for me to resolve this issue. I did think I would have to write a lengthy legalise type letter but they solved the problem on the phone. Full marks! I can't see other energy companies doing the same.

If you are with Atlantic phone and complain. Hopefully if you quote the relevant law you will also receive a refund.

Hi katie-lawyer and welcome To MSE.

Does your name infer that you have some form of legal training? Are you really suggesting that Ofgem is acting unfairly, for it is they that introduced the 65 day rule under their licencing of energy suppliers.

If you have some evidence to support your allegation, could I suggest you contact Lord Mogg with it.

http://www.theyworkforyou.com/peer/lord_mogg

I'm sure he would be most interested in hearing of your learned arguments relating to the way an organisation he is chairman of is acting unfairly.


Btw, I think you'll find that the previous times Atlantic increased prices, anyone who called up disputing the estimated values used for the price change point simply had all their units billed at the original older price without any need for legal threats
The cost involved was too little to worry about. We're only talking about a 20-30% increase in a fraction of the overall bill for those who actually bothered to complain.
http://forums.moneysavingexpert.com/showpost.html?p=11958719&postcount=8

misterthrifty

Hi
I have my electricity and gas supplied by Equipower and a similar situation has arisen, they have just notified customers of a 30% price rise, backdated to the begining of October. Are the comments here specific to Atlantic or do they apply to all suppliers, ie, can I reject the price rise and change suppliers.

Ta

Mr T

Cardew

misterthrifty wrote: »

Hi
I have my electricity and gas supplied by Equipower and a similar situation has arisen, they have just notified customers of a 30% price rise, backdated to the begining of October. Are the comments here specific to Atlantic or do they apply to all suppliers, ie, can I reject the price rise and change suppliers.

Ta

Mr T

Yes you can - just notify them asap you are leaving.

martinjrb

Halfcat wrote: »

Hi,
thanks for the reminder, been with Atlantic since Aug 07, and no sign of a rebate. email sent, Ill let you know.

ps do all customers get this I think I remember something about it when I joined, but so long ago I cant be sure

I have been away with work for a couple of days and just returned tp the forum. I can see I have some chasing to do to get my rebate. Out of interest who did you email and have you heard anything yet?