Buying prepaid cards from Landlord

ScubaLouLou

Hi can anyone help?
My Landlady has just installed a prepay electric meter into a flat that I have lived in for 10 years.
I was paying roughly £40 a month on the old pre pay meter (you inserted a £1 coin and wound it up) and now I am going through about £120 a month.
I have to buy these paper cards direct from the Landlady in increments of £10.
She has told me it is a British Gas Business account that supplies the properties, I am being charges 24p a unit and I cant change supplier.
Now everyone I have spoken to including CAB have not heard of this.
I have been told you can buy these prepay units off the internet and that the landlords buy the cards for pennys.
I really need help as I cant afford electric.
I have tried contacting British Gas direct but they wont speak to me as its all in her name.

Cardew

It is illegal for landlords to make a profit reselling electricity.

If your Landlord is paying 24p/kWh including the standing charge and VAT at 20% that can be passed on to you.

I am not sure who can investigate this matter, why not seek advice from the housing department or Trading Standards in the local council.

footyguy

ScubaLouLou wrote: »

Hi can anyone help?
My Landlady has just installed a prepay electric meter into a flat that I have lived in for 10 years.
I was paying roughly £40 a month on the old pre pay meter (you inserted a £1 coin and wound it up) and now I am going through about £120 a month.
I have to buy these paper cards direct from the Landlady in increments of £10.
She has told me it is a British Gas Business account that supplies the properties, I am being charges 24p a unit and I cant change supplier.
Now everyone I have spoken to including CAB have not heard of this.
I have been told you can buy these prepay units off the internet and that the landlords buy the cards for pennys.
I really need help as I cant afford electric.
I have tried contacting British Gas direct but they wont speak to me as its all in her name.

Pop back to the CAB and ask to speak to someone that does have knowledge of this type of arrangement
It is not unusual for those who rent to have to buy their energy from their landlord via a sub-meter, depending on the premesis.

Or ask them for details of other housing charities, (such as Shelter) who can provide tenants with advice.

Why can't you afford electric? It's going to be cheaper than say candles, campinggaz. etc.

Pop over to the Debt Free Wannabe board, and provide a full SoA and the good people there will advise you on how you will be able to afford essentials such as electricity,...

Good luck!

spiro

Cardew wrote: »

It is illegal for landlords to make a profit reselling electricity.

If your Landlord is paying 24p/kWh including the standing charge and VAT at 20% that can be passed on to you.

I am not sure who can investigate this matter, why not seek advice from the housing department or Trading Standards in the local council.

The LL can't pass on the 20% VAT or CCL, they reclaim that against tax. They can only charge you 5% VAT as you are not a business.

footyguy

spiro wrote: »

The LL can't pass on the 20% VAT or CCL, they reclaim that against tax. They can only charge you 5% VAT as you are not a business.

That assumes the LL is registered for VAT themself.

AndyPK

I'm not surprised you can't afford the new prices. £1440 a year is ridiculous and that's without the electric heating on high as required in winter.

Even if you like that flat, start looking for another place to live.
Hopefully you will find a solution with LL but have a backup plan ASAP.

Polity explain to LL that £120/month x 12 is more than you can afford and you can't afford to stay there.

If that doesn't work, then start unplugging things.

I assume you have LED light bulbs in your main room where you spend evenings.

House_Martin

Sub meters are now a real rarity.Can t remember the last time I ve seen an old one pound coin meter either . They have really died a death . I only see the odd sub meter a year nowadays since landlords cannot sell on electricity at a profit I believe your L/L is operating illegally, 24 p a kwh is even dearer than Spark Energys high rates !
ridiculous rip off, but in fairness there are some BG business rates for small users which are eye wateringly expensive., but she is a domestic property and I think she is also breaking the conditions for being a BGB customer. This year I ve been paying 10 p kwh (13 p a day standing charge ) on a credit meter.
I d move on personally rather than stomach those prices.

zaax

Contact Shelter http://www.shelter.org.uk/