I’ve fucked up and it’s going to cost me thousands- what do I do now?

[SnowQueenie]

A couple of years ago my electricity meter stopped working. Contacted the electricity company who came out and placed a smart meter. I continued paying the bills as they came in monthly, with increases when they requested it. They contacted me to say I needed to do a meter reading, but I have a smart meter so didn’t think anything of it. This month I’ve had a bill that’s more than 10 times my usual monthly bill. I’ve contacted them to ask what’s going on, and they’ve told me that I’ve not had a meter reading since October 2023. They’ve never come to do one, or told me the smart meter wasn’t working, so I didn’t realise. They’re saying they’ve been charging me as having 0 usage for this entire time, despite me paying £50-£60 a month. They’re now saying they’re going to back bill me for the entire time I’ve not been properly charged and that it’s likely to skyrocket my bills because of this. What the hell can I do? I’ve been paying monthly and didn’t realise there was an issue, surely the onus is on them to notice that the meter isn’t working and fix it. Or to come and take a meter reading if they haven’t got one? And how is it costing me £60 a month for 0 usage?

I pay £60 a month for electric in a three bedroom house. Like the OP my heating and hot water is oil which I pay separately. Don't think £60 a month is that bizarre for some people.

For just electric. Yes it is. Mine last month on the bill was £46.79 including standing charge. I pay by DD, but 8 just checked the actual usage. Gas heating, electric cooking. With the gas as well my DD is £85.

As you have a smart meter , the screen would have gone blank if it wasn't connecting properly and they hadn't been receiving the readings . It can't have been blank for over a year , surely , as you would have noticed ?

I would contact them again , ask if they received the smart meter readings and if not , ask why they haven't contacted you earlier in that case.

I don't think this is going to cost you thousands. It sounds like you've not been billed properly for electricity for about 15 months but in that time you've paid them about £900 and you say that this is about right for your electricity usage? The £60 a month is the DD amount, it's not your bill.

Now they've sent you a bill that is 'more than 10 times your normal monthly bill', so likely a similar amount to the £900 you've paid, which more than covers the electricity you've used since the meter has been changed?

Do you have an online account with the electricity company? Can you log in and see if you've had any bills over the past 15 months and what they say re units used? The latest one might show the whole period since the meter was changed. Now what you need to check is that they've applied the payments you've made against the units used and it should show you're up to date, and possibly in credit a little.

Moral of the story, you should be receiving monthly or quarterly bills for electricity and you should keep an eye on it to make sure it's all running OK and contact them straight away if not.

You must start reading your utility bills, if you don't understand them (let's face it, some are just plain baffling) phone up and get someone to explain what they are trying or claiming to tell you.

Post Covid, nothing works anymore, all processes are broken or sub-optimal. If something isn't right, it may not be our fault but we still get to pay. There is no incentive for these companies to operate better or to improve so you have to be on top of your game. Written as someone who has just spent 2.5hrs today talking to an electricity supplier to get my recent £1,263.23 bill corrected to £278.35 following the installation of a smart meter.

Definitely dispute it, perhaps they need to look into why they're not receiving readings. Won't be the first time a smart meter installation goes wrong!

Don't understand why people are so incredulous about others' energy bills - shop around for a better deal! Mine is on average £75 a month/£900 a year for gas & elec - around £90 in the winter, £50 in the summer.

eh?

They can't do that. You can only be charged for what you use and they need to have proof of that.

Our meter stopped working after a power cut, I contacted them but it took them months to send someone out to fix it and we paid nothing for months. They then explained clearly that they cannot just 'make up' or 'estimate' an amount used to back charge so its free.

You have to have proof of a debt amount owed.

Also I would query anything unusual, I got a debt charge from British Gas saying I owed them £600, first I heard of it was it tanking my credit score. Contacted them completely confused, they checked their system and it turned out their system can't distinguish between credit and debit and they owed ME £600 for years of over paying. I got a check refund from them (wouldn't have known or been refunded if not for the credit score issue) but it stayed on my bloody credit score for years as a 'debt' effecting things.

This is not a norm for all the people, though. My bill is in the region of £50 a month. And the OP already said that she uses oil for heating and her electricity bill is typically low anyway.

Who are you with?

Sonds to me like the company fucked up, not you. If you've been paying 50+ GBP monthly, they can't possibly charge you the full amount now just because they don't know what they did with the money. Don't be in a hurry to pay up. Good luck!

Do not agree to pay this bill and be very firm in telling them (in writing) that you’ve paid every month what they’ve asked for up to now, so you don’t believe that you owe them anything.

Ask them to explain how they’ve calculated the amount of electricity used when they’re saying that the metre isn’t working properly.

They can’t simply pluck figures from the air.

Of course it is if you use oil for heating. 😂😂😂

But the OP hasn't seen any bills and like many, doesn't seem to understand the difference between a direct debit payment and an electricity bill. Until this issue is resolved, no-one knows what the bill is actually for.

They’re saying they’ve been charging me as having 0 usage for this entire time, despite me paying £50-£60 a month.

I don't get this.

You pay a standing charge per day/ week regardless of usage.

Have you not had an annual statement emailed?

This shows standing charges and charges for electric usage per kwh.

Your electricity provider charges by how much electricity you use per kilowatt hour (kWh), depending on their electricity unit price.

Your annual statement shows standing charges and the price of a KWh.

These can change throughout the year/season depending on the fixed rate tariff.

Ok so i worked for an electric company, do you have electric heating or a pool or a pond A they are expensive? £60 a month is very cheap, do you have a new meter fitted if so you need to read the meter at the same time each day for a week to see how many units you are using daily and from there you can work out your monthly bill cost...

Exactly as @Bjorkdidit says, the first thing to do is to check several previous bills and see what the electricity usage was being shown as. Were they all estimated or were they actually showing 0 usage? If the OP was paying £60 a month into the account, what was the subsequent balance each month?

I check my account online regularly, I have a smart meter, but I still check each bill to see if what is given for usage is what I expect, and isn't an estimate.

Iv just checked mine and electricity alone for December was £57.60 so I absolutely wouldn't question £60 for electricity every month

I had to have a faulty meter replaced a few years ago. It caused loads of problems with billing as they kept trying to make the readings tally with the old meter. You would think it would be easy on their system to update a serial number on a meter but apparently not.

Ask them to confirm the serial number of the meter they are trying to bill you from

I had this about 15 years ago. My DH moved out of his flat to live with me and the energy company tried to charge him 4 years of backdated charges as he'd just been paying his DD and hadn't had meter readings.

We contacted the Ombudsman and they advised that as the electricity company legally 'own' the meter - it is their responsibility to obtain a meter reading at least every year and if they have failed to do, they cannot back bill you further than 12 months.

It reduced a £4k bill to £700. Do contact the ombudsman and challenge the company.

Go to citizens advice OP. You’ve got some good points from here but you really need to talk thorough your specific situation with the details of your tariff and terms and conditions with an adviser

Don’t pay it.
Refuse to pay it.
It’s their fault as they have responsibility for the Smart meter and didn’t notice your monthly payments were paying for ‘zero’ usage.

They cannot legally cut off your power - at least not between October and March I’ve just read.

I would write them an email so you have a trail and say you couldn’t have known and they should have noticed, as the entire point of a smart meter is for the homeowner not to have to read it.
Be polite but assertive and say you will pay the rearranged amount monthly that covers the future usage, once they’ve fixed your smart meter but that you won’t be held accountable for paying the historic payments.

Some really good advice on here.

As an aside, it is really worth taking your own readings once a month for a year and then periodically checking every 3-6 months. I know that my average use is in the order of 350-450 units per month depending on various factors like tumble dryer use etc.

Anything over that is just wrong, so I can estimate my bill per year inc standing charges and VAT and know roughly where the DD should sit.

Also the same with the water bill. I keep an eye on the meter and the usage to make sure it is in line with my normal data as anything outside of that is either a leak or a faulty meter.

I'd advise anyone to do this, it is time well spent.

Oh how stressful OP! You have acted in good faith, trusted the equipment they installed and paid your bills. I hope this can be resolved/written off as it does seem they are at fault here.

To those acting as though the op is stupid or trying it on, I’m sorry your energy rates and usage are so high. Whilst everyone’s including mine have increased the numbers op quotes are not unrealistic. Screenshot attached of my account - I have electricity and gas, no other energy, 3 bed family home with readings sent daily by smart meter (and yes mine does work!)

You might be best to escalate it as a complaint. It goes through to a separate team and they are better at getting back to you.

Something is wrong here.

What do you run off electric? The shower or is that part of your central heating system?

If you are not using electric for heating or hot water that's the only other major power hungry appliance.

£60 may be a bit short but it can't be thousands short.

I would put to them that they have a duty to bill you correctly and with a smart meter you assumed readings to be given automatically.

Worst case they'll probably credit a bit to your account for the inconvenience so you won't have too much to make up.

Can you go through old bills and look how many units you used on average per month or over the year? Multiply it by your unit rate and see if their calculation sounds in any way reasonable.

If it does then you need to check they have credited your account with your payments. If it is massively out from previous years then contest the accuracy of the meter.

Electricity companies are the worst. Please contact an ombudsman ASAP and tell your electricity provider you are doing so. Good luck.