British Gas dual fuel Fixed Sep 23 v4 tariff - Inflated usage figures

sleepymans

I was transferred 11 months ago the BG standard variable tariff when my previous supplier failed. Until very recently I haven’t been eligible for a fixed rate deal, but the Fixed Sep 23 v4 is now being offered to me. I have used Martins latest fix calculator and it confirms my suspicion that the fix is worth considering. HOWEVER…..in the offer they have made me BG have inflated my estimated gas usage by 35% and electricity usage by approx 10%.
This means that the u it rates and standing charges offered are attractive, the DD amount they would force me to make are roughly £140 a month more than actual usage indicates. BG tell me that they would review the DD amount in Aug 2023. Surely this is u reasonable as by then I estimate I would be £1500ish in credit!
I have made a formal complaint and their complaints team seem unable to grasp the concept that the price cap rises only increase the cost per unit and standing charge and NOT my usage!! Frustration as they insist it’s “take it or leave it”

Any advice gratefully accepted

macman

They don't force you to pay a certain DD amount. You control the DD, not BG.
Does your tariff require monthly DD? If not, switch to another means of payment if they are resistant to reducing it.

PennineAcute

Although better starting at the end of spring, have you thought of a month variable direct debit?

I am also with BG and felt they were overestimating my gas usage - but with only moving into the house in May, they were going off past usage - much older people than myself have lived in my home.  I am in an over 60s bungalow, but am only 54.

I worked out my estimated monthly cost and moved over to monthly variable direct debit.  I estimate £50 a month gas (they estimated £90) and £70 elec (their estimate was very similar).  At the moment I am £140 in credit on my gas and have a £28 debit on my elec.

If my monthly gas or elec bill is less than my estimate, I top up the difference.  If it is more than my estimate, I do not pay a top up.  This gives me the same benefits as fixed monthly DD, but with the advantage of finishing on a near zero balance, when my tariff expires in July 23.

Of course, this method really only works at the end of spring, when you can build up some credit before the colder periods start.  Otherwise, you can have some heavy winter bills to pay.

wrf12345

BG do this regardless of your usage. If you sign up then after the first month get on chat to them and demand the excess credit be refunded (under Ofgem rules they have to do this) and suggest a lower DD. They may say it is impossible at this stage. Do the same at the end of the second month but now insist that they lower the DD (their online site allows you to increase the DD but not decrease it!), quoting Ofgem regulations. They may refuse again but this time insist, saying there is clear record of usage and it is illegal to charge more than is necessary. If you keep at them they will refer it to the line manager who will then okay it. Do it on chat as you can keep a record of the proceedings (they don't like that). I did this a few months ago so know it works.

sevenhills

Not much choice at the moment. I am £350 in credit, but once the rise kicks in that should come down.
No problems!

FreeBear

wrf12345 said: They may refuse again but this time insist, saying there is clear record of usage and it is illegal to charge more than is necessary.

You bandy words about like "illegal", you will come across as a muppet. Yes, read up on the OFGEM rules relating to the setting of direct debit. Have your usage figures to hand (in terms of KWh, not ££), and tell them what you consider to be a reasonable DD. If they come up with a totally different figure, challenge them on how it was calculated and what annual consumption figures were used.

If BG can't/won't give a suitable answer, escalate to a manager. If no joy there, go down the formal complaint route. Again, don't use the word "illegal", instead, say "contrary to OFGEM guidance" or "in breach of SLC xx.xx".

wrf12345

I called their estimate, when it was quoted back at me, absolutely absurd and these companies, not just BG, have a long history of "illegal"activity on DD's - I doubt if the India based c/s rep will think I am a muppet, just an annoyed customer who is not going to back down,