MSE News: GB Energy goes bust, 160,000 customers affected

locky123

Hengus wrote: »

Ofgem has just updated its advice and it is now telling suppliers to accept switches from GBEnergy customers. Clearly, policy is being made on the hoof.

Any links please as looking switch?

System

locky123 wrote: »

Any links please as looking switch?

From the MSE Headlines:

Quote: What if I'm currently switching to or from GB Energy?

Some people may have already had a switch in progress when Saturday's news was announced, and we've heard of others switching away from GB Energy over the weekend when they learned it had ceased to trade.

Ofgem told us it's advised suppliers to carry on as normal and allow GB customers to switch to them. It says any switches currently in progress should still go ahead as normal. Unquote

Reading it again, it is not clear whether it applies just to switches initiated prior to GB's collapse or to all switches. The MSE Staff need to clarify. There wording has conflated two separate actions into a single of advice.

smiley11

Update on my situation. I rang SSE who I have been transferring to on 9th November. They confirmed my gas transferred to them from GB on 9th November, but not my electric yet.
They were really helpful and told me not to worry, the electricity should follow.
I was worrying that my electric account would go with the the Ofgem accounts, and then I would have 2 suppliers and not the one I signed up to.
Also, I contacted the direct debit guarantee scheme, if banks cannot reclaim their direct debit back from GB, they CAN take it from you again. Just in case you've had a refund and think you've got it back...

Cisco001

Hengus wrote: »

From the MSE Headlines:

Quote: What if I'm currently switching to or from GB Energy?

Some people may have already had a switch in progress when Saturday's news was announced, and we've heard of others switching away from GB Energy over the weekend when they learned it had ceased to trade.

Ofgem told us it's advised suppliers to carry on as normal and allow GB customers to switch to them. It says any switches currently in progress should still go ahead as normal. Unquote

Reading it again, it is not clear whether it applies just to switches initiated prior to GB's collapse or to all switches. The MSE Staff need to clarify. There wording has conflated two separate actions into a single of advice.

I think it refer to those people already switch before collapse.

https://www.ofgem.gov.uk/consumers/household-gas-and-electricity-guide/extra-help-energy-services/ofgem-safety-net-if-your-energy-supplier-goes-out-business?utm_source=twitter&utm_medium=social&utm_campaign=ofgem-gbes-261116

My understanding is if you are in credit, you need to wait until the new supplier step in, then you can switch.

Plymview

Hi. Can anyone help me with details of the gas and electricity prices per unit in the Topaz fixed tariff please (it started around May/June this year)? Unfortunately, I did not download my bills so cannot work out how much I owe them and, more importantly, how much they owe me!
In view of the fact that they owe me around £250 (I phoned them today), I have cancelled my DD as some readers have had more money taken recently.
Thank so much!

Browntoa

https://forums.moneysavingexpert.com/discussion/5468009


MSE CEC and GB's website are showing the same standing charge for electricity but different unit prices: 9.9435p/kWh on GB's site compared to 9.849p/kWh on MSE CEC.

uptdale

Should we cancel our direct debits?

What we know:
1. GB has ceased trading, but we do not know if it is insolvent. The two are not the same thing. I checked Companies House this morning, and there is no notice of the appointment of a receiver, administrator or liquidator. (The company's full name is GB Energy Supply Limited, company number 08500842.)
2. Ofgem's website seems to have no advice specific to GB. The link on their home page takes you to their generic page on the Ofgem safety net.
3. Ofgem's generic advice on the question: Should I cancel my direct debit? is

No, you don't need to worry about cancelling your direct debit:

• If you are in credit - your old supplier won't take any direct debit payments from you.
• If you are in debt and owe money to your old supplier - your direct debit payments to them will be taken as normal.

Our advice is to wait until your new supplier has got in touch with you. They will help you set up a new account and will be able to tell you what will happen with any credit balance you may have with your old supplier.

What we do not know

1. The reasons for Ofgem's advice. If you are in credit, Ofgem cannot know that your old supplier (GB) will not take any DD payments from you. Ofgem does not control GB's banking and accounting systems. What is the reason for waiting for the new supplier to contact you and setting up a new account? What has that got to do with a DD in favour of GB? What has repayment of a credit balance got to do with the DD?
2. Is there anything different about DDs for electricity supply? Is there some contractual arrangement or regulation which can transfer the benefit of a DD from one company to another? I doubt it.
3. What downside, if any, is there to cancelling your DD if you are sure you are in credit (as many of us are)?
4. What is the point of keeping a DD in place in favour of a company which has ceased trading and to which you owe no money?

The sooner Ofgem clarifies its advice the better. If it has not done so before my DD is due, I'm going to cancel my DD.

Living_proof

It's a bit like Brexit, isn't it. Something is going to happen, sometime, but we don't have any details whilst the bidding process is going on.

I have been affected by a triple whammy here.

I was already on a fixed deal with Green Star into 2018 but they have a £30 per fuel fee to change within that period. Even taking that into account on paper I was better off to move to Crystal with GB, which I did in June/July. In September they increased the direct debit and I estimate I will now be £200 ish in credit, which would need to be in place to cover the increase in fuel over the winter period.

Now I am not sure whether I will get that credit back, there is a lot of 'likely', 'probably' being bandied about. Once I am in a position to switch from the SOLR it looks like the prices on offer will be 20% more than GB. So potentially three losses, not to mention the time and effort and angst which goes into the process.

This continual encouragement to change suppliers in my opinion is downright dangerous, unless regular stress tests are applied to energy suppliers in the light of world markets and political background. Anybody can promise to supply energy at a fixed price, and it's an easy get-out by just going bust after you've taken the big salaries for directors. As the MD at GB has done - with many different companies by all accounts.

Scotlands_Lite

smiley11 wrote: »

...Also, I contacted the direct debit guarantee scheme, if banks cannot reclaim their direct debit back from GB, they CAN take it from you again. Just in case you've had a refund and think you've got it back...

Interesting; do you have a link to these rules? I was always under the impression that once a refund had been made, your bank could pursue the supplier (i.e. GBE) and then their sponsor (i.e. GBEs bank) to claw back the refund, but not you as a last resort. Kind of devalues the DD Guarantee Scheme if true.

matelodave

It seems that Mr Luke Watson has been a very busy boy over the past few years. Especially considering the number of businesses that have been run from his Preston premises.

Perhaps we should all be checking the MD's CV's when we decide to switch to see how "adaptable" they's been (or should that be creative?)