How much does a complaint cost the provider

TJT87

Interesting discussion, the reason I wanted to know about the cost was because I am in negotiation with the company over a disputed bill and I thought that if I knew what it could cost them I held a few more cards. I could do without going to the ombudsman.

chanz4

Unless the person works on the inside, no one knows the costs.

TJT87

chanz4 wrote: »

Unless the person works on the inside, no one knows the costs.

Two points,

a) maybe someone does work on the inside,

and b)I understood there were some fixed costs once the case was accepted by the ombudsman.

Or has this changed?

14Westfield

The rule of thumb in the gas networks is that it costs £500 to have a complaint taken on by the ombudsman (exclusive of staff time etc).
Going on about it to the complaints people will only annoy them however - and will surely be regurgitated to in their submission of the issue to say that you are seeking a payout without merit.

poet123

14Westfield wrote: »

The rule of thumb in the gas networks is that it costs £500 to have a complaint taken on by the ombudsman (exclusive of staff time etc).
Going on about it to the complaints people will only annoy them however - and will surely be regurgitated to in their submission of the issue to say that you are seeking a payout without merit.

I am not sure I understand you.

I assume the OP wanted to know because if, for example, the dispute centred on a £300 issue and it costs £500 to go to mediation then he could legitimately use that as a bargaining tool. To mention there is no financial merit in them allowing him to proceed with his case does not mean his case is without foundation.

Terrylw1

poet123 wrote: »

No, you miss my point. I went through all those stages and spoke at length on the phone with someone (I do know his name) from the office of the Ombudsman and he was dealing with the case.

In most other Govt departs the staff deal with the admin, collate the detail and then refer up. Here this does not happen, the admin staff adjudicate, and you get a letter on Ombudsman headed paper giving their findings, but your case has never actually been looked at by anyone with the designation "Ombudsman". Only if you are not happy and insist, is the case referred upwards.

Ah, I thought you meant you were at a supplier stage thinking they had referred.

I can't speak for all suppliers, but its no different in some. You complain which just means you move to a team of people earning the same money on the same pay grade.

They may be given more responsibility because they are trusted, are heavily monitored, may have passed an interview for a side step job or may have experience.

Then you take your complaint to the next stage and finally to the ombudsman. Are you then given to someone higher at the supplier end because of this...no.

Terrylw1

14Westfield wrote: »

The rule of thumb in the gas networks is that it costs £500 to have a complaint taken on by the ombudsman (exclusive of staff time etc).
Going on about it to the complaints people will only annoy them however - and will surely be regurgitated to in their submission of the issue to say that you are seeking a payout without merit.

£350 for referral.

So, how does the rest breakdown if not including staff costs?

Using the ombudsman as a threat is a successful tool. It all depends on the value of the case as it may be cheaper to overpay compensation to keep it away from the ombudsman.

You also have to calculate the brand damage so its worth stopping it go that far. Customers can use this against them if the understand it.

backfoot

https://forums.moneysavingexpert.com/discussion/4126943

Here is a connected thread regarding experiences of the Energy Ombudsman.

It would be great to include input from Poet and others. I would propose to send these details to Ofgem if we can collate enough feedback.