Commercial property energy nightmare

MWT

Ofgem do actually want a 14 day cooling-off period for micro-business customers, but unfortunately they only regulate the suppliers, not the brokers...

It is a hard lesson to learn and likely to be an expensive one in this case as one or other provider is going to get paid the extortionate early termination fee that is build into the contract...

Gerry1

Robin9 said:

jackof1trade said:

YPG quoted 60p per day and 40p per KW. EDF quoted 25p per day and 32p per KW

Both are good - I've been quoted for out of contract  57.32 p/ kWH and 0.75 p/day

Standing charge of less than a penny per day?  Must be Shell !

jackof1trade

Thanks guys. I will see what the suppliers come back to me with for early termination. I recon EDF will be around 6k but YGP will be nearer 15k- I think they estimated my usage to be double of what EDF did.. and add to that their higher rate. 

So it looks like I’ll be left with a company which is pricey, and has a terrible reputation for 3 years and be 6 grand down to boot 😢

jackof1trade

Robin9 said:

jackof1trade said:

YPG quoted 60p per day and 40p per KW. EDF quoted 25p per day and 32p per KW

Both are good - I've been quoted for out of contract  57.32 p/ kWH and 0.75 p/day

What does your contract say about consumption and number of years ?

I believe out of contract for YGP is £4.99 per day!

jimjames

jackof1trade said:

Not seen a contract so I don’t know- she basically blinded me with figures. I’m bribing it tbh.. I think this phone call is going to leave me broke, it doesn’t seem fair.

If you've not seen or signed a contract is that a possible get out? How can you agree terms if they've not supplied them?

MWT

jimjames said:

jackof1trade said:

Not seen a contract so I don’t know- she basically blinded me with figures. I’m bribing it tbh.. I think this phone call is going to leave me broke, it doesn’t seem fair.

If you've not seen or signed a contract is that a possible get out? How can you agree terms if they've not supplied them?

No, it is not a requirement, you can enter a contract verbally without seeing the terms, but it is of course very much not advised to do this although the brokers will pressure you to do so for obvious reasons...

This is the difference between consumer and business, in business you are required to do your own due diligence and are assumed to be capable of making the best choices for your particular needs.

This is also why Ofgem would like to get micro-businesses into a different category as they blur the lines between business and consumer.

https://www.ofgem.gov.uk/publications/microbusiness-customers-get-better-energy-deals

There are some brokers and other organisations out there that will try to help you break a contract that you've entered into inadvisedly, but they can also be sharks and you can end up paying them and still not getting out of the contract if there has been no mistakes by the broker.

jackof1trade

I’ve asked for a copy of the telephone conversation where I verbally agreed. If they don’t have one then there is no contract apparently. 

If they have it I will listen carefully to the part where she explained the tariff she found me was high because unit rates for businesses are generally higher than the unit rate for consumers. This is why I went ahead but the information is untrue, so I’m hoping it’s a way out. To refer back to Victor2’s post, the prices quoted were exclusive of VAT so that shouldn’t come into it. 

MWT

jackof1trade said:

I’ve asked for a copy of the telephone conversation where I verbally agreed. If they don’t have one then there is no contract apparently. 

If they have it I will listen carefully to the part where she explained the tariff she found me was high because unit rates for businesses are generally higher than the unit rate for consumers. This is why I went ahead but the information is untrue, so I’m hoping it’s a way out. To refer back to Victor2’s post, the prices quoted were exclusive of VAT so that shouldn’t come into it. 

Hopefully you'll find a flaw, but it is generally accurate to say that business tariffs are higher than domestic tariffs, what she will not have said is that the tariffs she was offering were the cheapest available.

Good luck though and do seek some help on this as there are some very fine points that she may have tripped over like disclosing the commission they get as an intermediary...

Ectophile

As a lesson for the future, you are now a business.  Businesses don't have consumer rights.

Always read every contract for anything.  And if you can't see the contract, don't agree to it.  In practice, that means say "no" to people who cold call you.  Once you have agreed a contract, you are bound to it, no matter how unfair.

jackof1trade

Ectophile said:

As a lesson for the future, you are now a business.  Businesses don't have consumer rights.

Always read every contract for anything.  And if you can't see the contract, don't agree to it.  In practice, that means say "no" to people who cold call you.  Once you have agreed a contract, you are bound to it, no matter how unfair.

Trust me- I’ve learned the lesson!