British gas sent huge bill

witchwood

EssexHebridean said:

*Gently, and from a place of caring not judgement*

Those raising concerns about your general finances have a good point. If no DD's have been taken for 12 months, then as already said the money for the "missing" payments should be sitting there waiting IF all your other budgeting is on-point and working well. That it isn't sounds like you do probably need to pay a bit more attention to your monthly budgeting to be honest.  £400 a month is a massive amount not to be going out, and to then simply be being spent on other things, for a start - going forwards, and if that money IS taken each month, as things stand, that's going to leave you short for the expenditure that has been covered by it since the end of 2023. 

You might find it helpful to go through either the MSE budget planner tool, or the Statement of Affairs calculator linked to in my signature below, in order to ensure that things like the "big annual" spends of insurances etc are all budgeted for spread across the year, and childrens activities are factored in to monthly costs. As things stand, once that £400 starts going out again, you are quicky going to find that you either go into unauthorised overdraft (painfully expensive!) or get payments - potentially for priority bills - bounced. 

Please don't see this as some form of attack - it's not - it's pure logic. Your family finances have been supplemented to quite a large extent each month, and that is about to change - you need to be sure that your budget is robust enough to stand what is effectively a "pay cut!" 

*Edit* - did you ever sort out the issue with the crazily high billing from 2022? 

Our general finances are in very good order. Probably not as streamlined as most of you on here, but we are comfortable and not in any trouble regarding that. So. We are on a variable DD. As said some months 150, other 500. The 400 was just an average (based on this bill for 4k and to make it easier) Yes. It is MSE and I expect most of you know every penny etc. That is not how we work as a family (rightly or wrongly, but its right for us). So many things in and out, completely different each month. We also have other accounts which are easily available to transfer over if we need to. We have no mortgage, and own our property and land ( 3 acres, stables, barn in a very sought after area) outright. So no rent involved either. Both under 50 and so have done alright I think! We both own our own business' and do well enough out of them. Not rich either! Just we have enough to do what we want. Never go on holiday, drive cars bought outright... always 2nd hand never new. As I said I was surprised when I didn't have to transfer for an unexpected vet bill, but didn't for one minute think its because a DD that was supposed to go out didn't. This query IS NOT about my general finances, which are all fine. If I wanted to pay this bill off in one go I could very easily from another account... just not my current as we only keep what we need in there. The query was about BG not taking the DD, or informing us and then all of a sudden re starting the DD with a very unexpected 4K (ish it was actually 3765.88) bill. 
The high billing in 2022 was because BG were estimating our usage, based on a 'normal' property with Central Heating etc. We were always in a lot of credit with them and never used the amount we were paying. Since moving to variable DD (Ha! Or so we thought!) our bills have been much more in line with what you would expect. Varying between about 150 a month (July 2023 was actually 93!) to about 490 (jan 2023 was that, and we had installed new heaters in a newly built workshop so expected) The bill for this year (nov23-dec24) of 3765 is expected and in line with what we use. The issue is the fact it was supossed to be going out monthly! Not an unexpected bill because the meter wasnt sending info, which no one knew about!

Tucosalamanca

witchwood said:

Tucosalamanca said:

witchwood said:

Tucosalamanca said:

witchwood said:

Tucosalamanca said:

If BG haven't been taking payments each month, then your current account should have be increasing in value.

If you've ended up with a £4k bill and there's nothing in the current account to pay it, that might be an indicator of other financial issues.

BG will now restart taking monthly payments, that's going to be a noticeable drain on your finances.
Maybe time to sit down and do a SOA to check that you're living within your means, or at least establish how much you're overspending each month. Although not ideal, this bill might be a blessing...

Do YOU have 4k sitting in your current account? I am very unsure anyone just has 4k in their current account. 

Yes and if my BG direct debit wasn't going out each month it would very quickly increase...

Not necessarily would it. Especially if like ours it fluctuates month to month. It just meant that some things I thought I was going to have to transfer from a different account I was pleasantly surprised I didn't have to... A big vet bill for instance, which I managed to pay out of the current account, thinking hadn't spent so much on other things and assuming the DD's had all gone out as they should have. When the insurance cough up for this vet bill it will bring it up to more than usual. I seriously doubt you have 4k hanging around a current account anyway. It sounds like you know where every penny is going, and keeping 4k in your current account would be a strange place to keep it rather than a savings account or emergency fund account. And 4k in any 'normal' families currant account, especially around xmas and towards the end of the month is pretty unusual. 

Since you seem determined to drag this out.

My outgoings average around £1,000 per week, if I didn't have more than £4k in the bank, I would frequently be moving money or hitting my overdraft.

Yes, I do know where every penny is going, this is MSE after all.
I'm a net saver and would very quickly identify an extra £400pcm, it would make a nice extra contribution to my pension each month.

I don't understand why you're surprised.

A typically 4 bed house in my area is over £2,000pcm to rent, a 75% mortgage would be around £2,500pcm.
You need approaching £4,000 a month just to get by, keeping one months money in a current account isn't unreasonable.

Also worth bearing in mind that a couple on full time minimum wage are taking home around £3,500 per month.
A couple working full time on average wage are taking home around £5,000 per month.

£4,000 a month is completely normal for a lot of people...

So. We are on a variable DD. As said some months 150, other 500. The 400 was just an average (based on this bill for 4k and to make it easier) Yes. It is MSE and I expect most of you know every penny etc. That is not how we work as a family (rightly or wrongly, but its right for us). So many things in and out, completely different each month. We also have other accounts which are easily available to transfer over if we need to. We have no mortgage, and own our property and land ( 3 acres, stables, barn in a very sought after area) outright. So no rent involved either. Both under 50 and so have done alright I think! We both own our own business' and do well enough out of them. Not rich either! Just we have enough to do what we want. Never go on holiday, drive cars bought outright... always 2nd hand never new. As I said I was surprised when I didn't have to transfer for an unexpected vet bill, but didn't for one minute think its because a DD that was supposed to go out didn't. This query IS NOT about my general finances, which are all fine. If I wanted to pay this bill off in one go I could very easily from another account... just not my current as we only keep what we need in there. The query was about BG not taking the DD, or informing us and then all of a sudden re starting the DD with a very unexpected 4K (ish it was actually 3765.88) bill. 

This is none of my business, you don't need to justify anything.
My first post was only out of concern that you might be losing £400pcm out of your budget and might end up 'off-side' once the DD is recommissioned, nothing more...

MeteredOut

I think we should step away from the general finances side of things (which has been well covered) and back to @QrizB questions above (https://forums.moneysavingexpert.com/discussion/comment/81171626/#Comment_81171626)

@witchwood I think what that post is trying to get to is to determine whether you *do* owe the £4K, because BG did not bill you/take the DD, or whether something else has gone wrong (eg, in the move to their new billing system).

If you're happy that you did use all the energy BG are claiming (ie. you've checked their latest bill against known actuals), then the first thing you need to look into is backbilling (see here: https://www.ofgem.gov.uk/what-do-if-you-get-back-bill).

There is a good argument that BG cannot bill you for any gas used more than 12 months prior to that bill. When was it dated? I do wonder if the £500 compensation you were told you had received was actually them removing older usage, rather than compensation.

But, if you dispute the energy usage from that bill, then we can help you how to challenge that.

witchwood

MeteredOut said:

I think we should step away from the general finances side of things (which has been well covered) and back to @QrizB questions above (https://forums.moneysavingexpert.com/discussion/comment/81171626/#Comment_81171626)

@witchwood I think what that post is trying to get to is to determine whether you *do* owe the £4K, because BG did not bill you/take the DD, or whether something else has gone wrong (eg, in the move to their new billing system).

If you're happy that you did use all the energy BG are claiming (ie. you've checked their latest bill against known actuals), then the first thing you need to look into is backbilling. There is a good argument that BG cannot bill you for any gas used more than 12 months prior to that bill. When was it dated? I do wonder if the £500 you were told you had received was actually them removing older usage, rather than compensation.

But, if you dispute the energy usage from that bill, then we can help you how to challenge that.

Thank you. I do think we did use the electic. I am not disputing that really, and the amount owed would be about right for the year. Our meter does read what they say it does too. Our last payment to BG was on the 17th November for 223.85. This is also the date they closed our account (which we knew nothing of!) and started a new account with a new number. Since then I can not access any readings etc for 2024. 

MeteredOut

witchwood said:

MeteredOut said:

I think we should step away from the general finances side of things (which has been well covered) and back to @QrizB questions above (https://forums.moneysavingexpert.com/discussion/comment/81171626/#Comment_81171626)

@witchwood I think what that post is trying to get to is to determine whether you *do* owe the £4K, because BG did not bill you/take the DD, or whether something else has gone wrong (eg, in the move to their new billing system).

If you're happy that you did use all the energy BG are claiming (ie. you've checked their latest bill against known actuals), then the first thing you need to look into is backbilling. There is a good argument that BG cannot bill you for any gas used more than 12 months prior to that bill. When was it dated? I do wonder if the £500 you were told you had received was actually them removing older usage, rather than compensation.

But, if you dispute the energy usage from that bill, then we can help you how to challenge that.

Thank you. I do think we did use the electic. I am not disputing that really, and the amount owed would be about right for the year. Our meter does read what they say it does too. Our last payment to BG was on the 17th November for 223.85. This is also the date they closed our account (which we knew nothing of!) and started a new account with a new number. Since then I can not access any readings etc for 2024. 

Ok, in that case, if they have knocked £500 off the bill as a goodwill gesture due to the bad service, I'd say you've done well out of it. 

But, if that was reducing the bill due to backbilling rules (ie. removing usage >12 months since that bill) then I'd suggest raising a complaint, but suspect the compensation would be nearer £50-100. You can escalate to the Energy Ombudsman if you don't reach agreement with BG, but I doubt they'd go much higher.

witchwood

MeteredOut said:

witchwood said:

MeteredOut said:

I think we should step away from the general finances side of things (which has been well covered) and back to @QrizB questions above (https://forums.moneysavingexpert.com/discussion/comment/81171626/#Comment_81171626)

@witchwood I think what that post is trying to get to is to determine whether you *do* owe the £4K, because BG did not bill you/take the DD, or whether something else has gone wrong (eg, in the move to their new billing system).

If you're happy that you did use all the energy BG are claiming (ie. you've checked their latest bill against known actuals), then the first thing you need to look into is backbilling. There is a good argument that BG cannot bill you for any gas used more than 12 months prior to that bill. When was it dated? I do wonder if the £500 you were told you had received was actually them removing older usage, rather than compensation.

But, if you dispute the energy usage from that bill, then we can help you how to challenge that.

Thank you. I do think we did use the electic. I am not disputing that really, and the amount owed would be about right for the year. Our meter does read what they say it does too. Our last payment to BG was on the 17th November for 223.85. This is also the date they closed our account (which we knew nothing of!) and started a new account with a new number. Since then I can not access any readings etc for 2024. 

Ok, in that case, if they have knocked £500 off the bill as a goodwill gesture due to the bad service, I'd say you've done well out of it. 

But, if that was reducing the bill due to backbilling rules (ie. removing usage >12 months since that bill) then I'd suggest raising a complaint, but suspect the compensation would be nearer £50-100. You can escalate to the Energy Ombudsman if you don't reach agreement with BG, but I doubt they'd go much higher.

It is back billing and not compensation. I've just gone through the statement and at the bottom says 589.09 CR backbill. So not 'compensation' at all. Also I am not sure why they have said it is because the smart meter wasn't sending info, as the statement says all the usage, with actual readings. It also very clearly says MONTHLY variable DD, and so why have they not been taking it?!!!

Baldytyke88

witchwood said:

We are all electric and with British Gas. We have a smart meter, in place for over 5 years, and pay by monthly variable direct debit, which suits us. Last week they sent a representative out to read our old meter. I queried it and said we have a smart meter, but he said they just have to make sure they tally up. I was busy at the time, and sent him round to read it (it's outside in an old shed). Now BG have tried to take a direct debit out for 4000!!! I have looked at my account online and they say its from oct 23-dec 24! But we have been paying monthly, although on my BG account page there are no statements and the only thing showing is this new bill. This DD said British Gas 1st payment. Any thoughts?

I apologize, now I have reread it; I assume that what you are referring to is your meter and your digital display.

I have the same set-up, a meter in the small room in the kitchen and a display unit on the kitchen window.

Perhaps the display lost its connection with the meter?

MeteredOut

witchwood said:

MeteredOut said:

witchwood said:

MeteredOut said:

I think we should step away from the general finances side of things (which has been well covered) and back to @QrizB questions above (https://forums.moneysavingexpert.com/discussion/comment/81171626/#Comment_81171626)

@witchwood I think what that post is trying to get to is to determine whether you *do* owe the £4K, because BG did not bill you/take the DD, or whether something else has gone wrong (eg, in the move to their new billing system).

If you're happy that you did use all the energy BG are claiming (ie. you've checked their latest bill against known actuals), then the first thing you need to look into is backbilling. There is a good argument that BG cannot bill you for any gas used more than 12 months prior to that bill. When was it dated? I do wonder if the £500 you were told you had received was actually them removing older usage, rather than compensation.

But, if you dispute the energy usage from that bill, then we can help you how to challenge that.

Thank you. I do think we did use the electic. I am not disputing that really, and the amount owed would be about right for the year. Our meter does read what they say it does too. Our last payment to BG was on the 17th November for 223.85. This is also the date they closed our account (which we knew nothing of!) and started a new account with a new number. Since then I can not access any readings etc for 2024. 

Ok, in that case, if they have knocked £500 off the bill as a goodwill gesture due to the bad service, I'd say you've done well out of it. 

But, if that was reducing the bill due to backbilling rules (ie. removing usage >12 months since that bill) then I'd suggest raising a complaint, but suspect the compensation would be nearer £50-100. You can escalate to the Energy Ombudsman if you don't reach agreement with BG, but I doubt they'd go much higher.

It is back billing and not compensation. I've just gone through the statement and at the bottom says 589.09 CR backbill. So not 'compensation' at all. Also I am not sure why they have said it is because the smart meter wasn't sending info, as the statement says all the usage, with actual readings. It also very clearly says MONTHLY variable DD, and so why have they not been taking it?!!!

First line customer service staff will say what they need to go get you off the line and move onto the next person. So "smart meter problem" will be their standard response with any issue, as most folks are likely just to accept and move on. It was obviously an error with their billing system, possible when you were migrated to the new one:

I'd suggest raising a complaint in 2 parts

- The bill shock due to them not processing the DD and you ending up nearly £4K in arrears 
- Them reserving £4K from your account leaving you with cashflow issues (and your husband having to go without lunch )

On the second point, did they not pre-warn you about this? No email saying your DD was changing?

witchwood

MeteredOut said:

witchwood said:

MeteredOut said:

witchwood said:

MeteredOut said:

I think we should step away from the general finances side of things (which has been well covered) and back to @QrizB questions above (https://forums.moneysavingexpert.com/discussion/comment/81171626/#Comment_81171626)

@witchwood I think what that post is trying to get to is to determine whether you *do* owe the £4K, because BG did not bill you/take the DD, or whether something else has gone wrong (eg, in the move to their new billing system).

If you're happy that you did use all the energy BG are claiming (ie. you've checked their latest bill against known actuals), then the first thing you need to look into is backbilling. There is a good argument that BG cannot bill you for any gas used more than 12 months prior to that bill. When was it dated? I do wonder if the £500 you were told you had received was actually them removing older usage, rather than compensation.

But, if you dispute the energy usage from that bill, then we can help you how to challenge that.

Thank you. I do think we did use the electic. I am not disputing that really, and the amount owed would be about right for the year. Our meter does read what they say it does too. Our last payment to BG was on the 17th November for 223.85. This is also the date they closed our account (which we knew nothing of!) and started a new account with a new number. Since then I can not access any readings etc for 2024. 

Ok, in that case, if they have knocked £500 off the bill as a goodwill gesture due to the bad service, I'd say you've done well out of it. 

But, if that was reducing the bill due to backbilling rules (ie. removing usage >12 months since that bill) then I'd suggest raising a complaint, but suspect the compensation would be nearer £50-100. You can escalate to the Energy Ombudsman if you don't reach agreement with BG, but I doubt they'd go much higher.

It is back billing and not compensation. I've just gone through the statement and at the bottom says 589.09 CR backbill. So not 'compensation' at all. Also I am not sure why they have said it is because the smart meter wasn't sending info, as the statement says all the usage, with actual readings. It also very clearly says MONTHLY variable DD, and so why have they not been taking it?!!!

First line customer service staff will say what they need to go get you off the line and move onto the next person. So "smart meter problem" will be their standard response with any issue, as most folks are likely just to accept and move on. It was obviously an error with their billing system, possible when you were migrated to the new one:

I'd suggest raising a complaint in 2 parts

- The bill shock due to them not processing the DD and you ending up nearly £4K in arrears 
- Them reserving £4K from your account leaving you with cashflow issues (and your husband having to go without lunch )

On the second point, did they not pre-warn you about this? No email saying your DD was changing?

No warning what so ever. Just checked all previous emails and found one saying they will be changing our account number, but we need to do nothing as its a seem less change over to their new system and everything our end will still say the same. So in my mind that means DD will go out as they always did and it is just our account number that will change. 
Funnily enough I have just received an email say we dont need to send a meter reading in with the new prices as we have a smart meter and all the readings they need!!! Make your minds up! 
Thankfully he didn't go without 'lunch' as managed to stop the DD going out! And I bought all the staff a cake that day anyway so he would have been good!!!! 

FrugaiMacDugal

witchwood said:

MeteredOut said:

I think we should step away from the general finances side of things (which has been well covered) and back to @QrizB questions above (https://forums.moneysavingexpert.com/discussion/comment/81171626/#Comment_81171626)

@witchwood I think what that post is trying to get to is to determine whether you *do* owe the £4K, because BG did not bill you/take the DD, or whether something else has gone wrong (eg, in the move to their new billing system).

If you're happy that you did use all the energy BG are claiming (ie. you've checked their latest bill against known actuals), then the first thing you need to look into is backbilling. There is a good argument that BG cannot bill you for any gas used more than 12 months prior to that bill. When was it dated? I do wonder if the £500 you were told you had received was actually them removing older usage, rather than compensation.

But, if you dispute the energy usage from that bill, then we can help you how to challenge that.

Thank you. I do think we did use the electic. I am not disputing that really, and the amount owed would be about right for the year. Our meter does read what they say it does too. Our last payment to BG was on the 17th November for 223.85. This is also the date they closed our account (which we knew nothing of!) and started a new account with a new number. Since then I can not access any readings etc for 2024. 

You should get this on BG home page  when you sign into your online account.