British Gas sent me huge bill a year after I closed account

caxia

Hi
We had a small shop which we closed in march 2008. We carefully made sure we paid all our debts and sent all utilities final meter readings and a forwarding address. I paid off and closed the British Gas account.

Today I got a bill for £688. After ages on the phone they said they had discovered they had been using the wrong values to calculate the bill and so we owe them this as extra.

We paid our bills in good faith even checking that the numbers added up. The business is now closed.

Is it fair or reasonable that after all this time and when they admit it was their error we should have to find this money?

Any comments appreciated.

Premier_2

What was the basis of the error? What wrong values? Do you agree the values used were wrong? Were the values on the bills you received?

Were you trading under the protection of limited liability?

caxia

Hi
No we werent trading under limited liability. It was a small shop.

What I think British Gas are saying is ; shortly after we took on the lease they installed a new meter.
The old meter was in imperial units, the new metric. They then didnt change the bill values from imperial to metric. At least I think thats what they are saying.

I have paperwork stating that the account is now closed and they have recieved the final payment. I wonder if this happens a lot?

Premier_2

Well its quite common for energy suppliers to bill based on the wrong type of meter and so incur errors.

However if they billed you as an imperial meter user when you had a metric one, then they owe you money. 1 unit on an imperial meter is roughly 3 times the gas of 1 unit on a metric meter.

Watchdog had a thing about it sometime ago

http://www.bbc.co.uk/watchdog/consumer_advice/latest_meters_pic.shtml

If they thought you had a metric meter when you actually had an imperial meter then you would owe them money, but that doesn't happen too often since they don't usually replace metric meters with imperial (but vice versa is common)

Unfortunately you will have to pay for what you've consumed, but if what they are saying is true, then they owe you money so ask for a refund asap. :beer:

caxia

Thanks for that. Actually I think I will ask for a written explanation as I was getting a very vague explanation down the phone after being passed from pillar to post.
I will look at the watchdog stuff too.
Thanks for your help.

Cardew

Unfortunately a business tariff doesn't have the same 'protection' as domestic tariff. i.e. under certain circumstances a utility company cannot collect monies owing for more than the previous 12 months where they are at fault - although it is not clear if this situation is covered under that ruling.

However for a business account, provided the amount claimed is correct I believe you are liable.

caxia

As a quick update. I have been going through the old bills and suddenly realised the meter serial number on the new bill is the number of the old meter changed not long after we moved in.
All the bills until now had the new meter serial number on.

Sat on hold for ages to tell BG this and suddenly everything has changed and I may not owe them any money after all. They are going to investigate!!

Thank goodness I'm a magpie and dont throw things away.
:eek: HOLD ON TO YOUR RECORDS EVEN WHEN YOU THINK YOU DONT NEED TO!!!!
Thanks for the advice and support cardew and premier.

Premier_2

Sounds good news caxia.

It sounds like the recent bill assumed you had an imperial meter but had only been billed on a metric meter basis (which would have meant you probably owed some money).

As it is, you were billed earlier on a metric basis because you had a metric meter as stated on the bill. It does sounmd like you probably don't owe any money
... but it also sounds like BG probably don't owe you any either

Keeping old receipts is very useful, but don't pay any bill unless the creditor can clearly explain what its for. In regards energy bills, you are entitled to the detailed calculation of how the bill was generated - don't just accept a figure demanded.

caxia

That sounds like good advice Premier!
I dont want any money from BG. An apology would be nice though. Its not settled yet so I had better wait and see.
ooo I love this site! I think we should put Martin up for a peerage...services to ordinary punters!