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AIBU?

Share your dilemmas and get honest opinions from other Mumsnetters.

housing association trying to pass on 400% increase in electric

11 replies

electricandgas · 10/10/2024 08:48

Just had our service charges for last year and our housing association increased our communal lighting charges by 400%. When queried they state they used a broker to find the best price and this was the best price at the time. Obviously based on past experience with the housing association I dont believe this was the best price, despite rises. Anyone experienced this or have suggestions of how I can check this out as it would affect thousands of homes. or AIBU and should just pay?
Thanks

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LumpyandBumps · 10/10/2024 14:21

Not quite the same but I have a leasehold flat in a block owned by the LA.

I have to confess not noticing how much the communal lighting was before, but this year it is over £100 per flat.

There are 8 flats in the block, and as far as I can tell one light on each floor, so 4 in total. I have no idea how they use over £800 of electricity per year.

Iheartmysmart · 10/10/2024 14:28

I don’t believe for one moment that the prices we pay in leasehold properties is genuine and fair. Not HA, but we’ve just had a quote through from our management company saying the best price they’ve got for cutting back some overgrown hedgerows is £2.5k. It’s probably about 4 hours work.

Our charges for insurance and lighting has increased by over £10k in the last couple of years. Even divided between 40 properties its a heck of an increase.

DaniMontyRae · 10/10/2024 14:30

Electric rates for businesses don't have the cap that domestic use has so it absolutely could be a massive increase.

DancingLions · 10/10/2024 14:57

HA's and service charges are a nightmare! I spent a year arguing with them over a certain charge that I knew was wrong. They eventually admitted it, but it was really stressful. However that was a charge for something that shouldn't have been on there in the first place so "easier" to prove wrong. Not sure how you can fight one where really they can just make up any amount!

electricandgas · 11/10/2024 11:28

interesting. I spoke to EDF and they explained it was a business charge. However I thought housing association is non profit organisation so seems morally wrong they are getting higher rates for residents. Has anyone tried/managed to argue these charges or know anything about the regulations for passing business rate electricity charges to householders. thank you

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doodleschnoodle · 11/10/2024 11:35

They aren't allowed to profit so can't charge you more than what they pay, but yes they are allowed to pass on whatever they are being charged per unit, which will be business rates. It's the same in properties with sub-meters.

doodleschnoodle · 11/10/2024 11:37

And it is the supplier who charges business rates, not the HA who is choosing it. If it's for a whole building with multiple dwellings or for a set of buildings, it's not considered a domestic property, so the HA will have to pay business rates, which are often higher than domestic rates.

electricandgas · 11/10/2024 11:37

Seems like a law that needs to change that business rates should not be charged in these situations.

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electricandgas · 11/10/2024 11:39

yes i understand it is EDF who supplied the electric at that price as it is seen as business not residential so the ruling would need to be made by government i suppose

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Winterjoy · 11/10/2024 12:03

electricandgas · 11/10/2024 11:37

Seems like a law that needs to change that business rates should not be charged in these situations.

Yes it's a nightmare. I live above a business and electricity is via a submeter in the business unit. No cap and no opportunity to shop around for better prices. I'm planning for a cold winter and an electric throw instead of heating unless it gets truly unbearable 😔

electricandgas · 11/10/2024 16:04

Shocking

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