Should I Contact Supplier About Energy Bill Fears or Could I be Penalised?

Quietearth

Like almost everyone I am desperately worried that I won't be able to pay my energy bills this winter.  The advice is to contact your supplier (mine is British Gas) and let them know that you're struggling.  I'm fearful that if I do this I will somehow be penalised by them.  At present I am paying £120 DD per month and (miraculously) am in credit.  But this is the maximum I can afford.  I have no more money.  The October, January and April rises will push my account into debit.  I, like everyone, am cutting back electricity usage to the bare minimum and I will not be able to put the central heating on this winter at all.  If I contact BGas will they force me to have a pre payment meter or impose some other nasty penalty on me?  Would I be better taking out a loan to cover my energy costs rather than admit to them that I won't be able to pay?  

WelshPaul

I see little point in making contact with your energy supplier, what can they do? All they can do is advise you to reduce your usage.

For what it's worth, you're not alone. We are in the same position, and there are five of us living in a 2 bedroom house! The only thing we have plugged in downstairs is the fridge freezer! Washing machine goes on once a day (30 or 40c), nothing plugged in the back bedroom and only an ONT and TP Link X20 router plugged in in the front bedroom. We obviously charge our mobiles once a day and use the shower 3 times a day (mixer taps via a combi boiler). Heating won't go on at all this winter, our double glazing is 30 years old and shot! Curtains flap about in the wind and the council won't do sod all about it! Currently our daily electricity bill is £1.20 - £1.40 a day, how the hell does one reduce usage further? Come October those figures go up 80% (doesn't include standing charge).

macman

You should already have had a CT rebate of £150, and from next month you will be receiving a £400 rebate via your electricity account, in 6 monthly bites of about £66. Have you factored this in?
If you are a pensioner, you will get another £650 via the WFP and the extra pensioner bonus.
You have to get into heavy debt and breach a repayment plan before BG would apply for a warrant to fit a PPM, it's not a quick process, or one they want to do if you are still paying as much as £120pm.
Without further support measures, whether done at the supplier or customer end, millions of users will come out of winter in debt, and the suppliers can't take them all to court to fit PPM's, so you really needn't worry about it.

WelshPaul

macman said:

You should already have had a CT rebate of £150, and from next month you will be receiving a £400 rebate via your electricity account, in 6 monthly bites of about £66. Have you factored this in?
If you are a pensioner, you will get another £650 via the WFP and the extra pensioner bonus.
You have to get into heavy debt and breach a repayment plan before BG would apply for a warrant to fit a PPM, it's not a quick process, or one they want to do if you are still paying as much as £120pm.
Without further support measures, whether done at the supplier or customer end, millions of users will come out of winter in debt, and the suppliers can't take them all to court to fit PPM's, so you really needn't worry about it.

If you have a smart meter (we do) then it can be remotely switched to prepayment mode, no warrant or visit required. However, this can only be implemented if you're in debt for a minimum period of five week (I think).

We were paying via monthly direct debit and we were on a fixed deal but that ended on the 25th August. We were switched to SSE SWALEC's standard tariff on the 26th. Anyway, we cancelled the direct debit and have been switched to "pay by bill". We're currently £500 in credit with our Electricity account and £300 in credit on our gas account. We will continue to make monthly payments and pay whatever remains upon receipt of a bill. We don't want to risk losing our bank account should the s**t hit the fan through bank fees, unaranged overdrafts etc (should SSE hike the direct debit, which they do regardless of us being in credit).

Currently I'm concentrating on trying to get my children used to lowering their use of both electric and gas. I might try and switch back to a variable direct debit in October, will wait and see what our next bill is like.

molerat

macman said:

If you are a pensioner, you will get another £650 via the WFP and the extra pensioner bonus.

Could you break that one down ?

Saga

WelshPaul said:

... there are five of us living in a 2 bedroom house! The only thing we have plugged in downstairs is the fridge freezer! Washing machine goes on once a day (30 or 40c),....

No idea if this link to Ofgem is of any use https://www.ofgem.gov.uk/information-consumers/energy-advice-households/find-schemes-grants-and-benefits-help-home-energy

My mum used to wash almost everything by hand in the bath or sink – no idea how she managed as we were a family of six and she worked too! You could knock off about 20p a day from your bill, according to the info on the back of my electricity bill. That's 14%-17% so not to be sniffed at.

And if you're really desperate think about ditching the internet and use the computers at the library. Cancel all media subscriptions. And perhaps minimise phone use to one for the household. Get rid of the TV and borrow books and boardgames from the library. Involve your friends and community to rotate sharing spaces and getting out to volunteer or improve things in the community. Moving about will keep you warm and funnily enough make you more cold-tolerant.

Obviously I'm addressing the general "you" as everyone has very specific circumstances and restrictions which will limit what can and can't be achieved.

LindsayT

molerat said:

macman said:

If you are a pensioner, you will get another £650 via the WFP and the extra pensioner bonus.

Could you break that one down ?

The £650 only applies to people on certain benefits paid in 2 halves, the first of which should already have been paid. It does not apply to pensioners but pensioners are supposed to be getting £300 on top of the £200/300 Winter Fuel Payment (depending on age) they get now.

PennyForThem_2

If struggling to pay electric/gas bills the very strong advice is to contact your utilities supplier asap so that they can help you.  
https://www.moneysavingexpert.com/utilities/how-to-get-help-if-you-re-struggling-with-your-energy-bills-/
https://www.britishgas.co.uk/help-and-support/struggling-to-pay

WelshPaul

Saga said:

WelshPaul said:

... there are five of us living in a 2 bedroom house! The only thing we have plugged in downstairs is the fridge freezer! Washing machine goes on once a day (30 or 40c),....

No idea if this link to Ofgem is of any use https://www.ofgem.gov.uk/information-consumers/energy-advice-households/find-schemes-grants-and-benefits-help-home-energy

My mum used to wash almost everything by hand in the bath or sink – no idea how she managed as we were a family of six and she worked too! You could knock off about 20p a day from your bill, according to the info on the back of my electricity bill. That's 14%-17% so not to be sniffed at.

And if you're really desperate think about ditching the internet and use the computers at the library. Cancel all media subscriptions. And perhaps minimise phone use to one for the household. Get rid of the TV and borrow books and boardgames from the library. Involve your friends and community to rotate sharing spaces and getting out to volunteer or improve things in the community. Moving about will keep you warm and funnily enough make you more cold-tolerant.

Obviously I'm addressing the general "you" as everyone has very specific circumstances and restrictions which will limit what can and can't be achieved.

I'm paying £22 a month for broadband and still under a minimum term contract with another 15 months to go. So, getting rid isn't and option just yet.

We can't reduce phone use to one because my eldest two children are in college (they have apps installed that are a  necessary requirement). My wife needs hers as everything is online now (payslips, banking, OTP pass codes etc) and so do I. My youngest is 12 and doesn't need one but that saves us just £3.95 a month. 

No media subscriptions.

I'm already walking an average of 220 miles a month (no car, can't afford a bus), I really don't want to do more than I already am. 😭

Sounds like I'm making excuses, I'm not, it it what it is. Fingers crossed things improve for us all, sooner rather than later. 🤞🙂

macman

molerat said:

macman said:

If you are a pensioner, you will get another £650 via the WFP and the extra pensioner bonus.

Could you break that one down ?

Sorry, wrong figures for the WFP. It's £500 or £600 with the Cost of Living supplement, depending on age. We don't know if the OP is of pensionable age though.
They will still get the £400 rebate, which they may not have been aware of, which should cover a good part of the increase on their existing £120 DD. 

sammyjammy

LindsayT said:

molerat said:

macman said:

If you are a pensioner, you will get another £650 via the WFP and the extra pensioner bonus.

Could you break that one down ?

The £650 only applies to people on certain benefits paid in 2 halves, the first of which should already have been paid. It does not apply to pensioners but pensioners are supposed to be getting £300 on top of the £200/300 Winter Fuel Payment (depending on age) they get now.

The £650 payment does apply to pensioners on Pension Credit.