Which? Says that some energy suppliers are breaching Consumer Protection Regulations (CPRs), since they are allowing customers without their knowledge to accumulate large debts through underpaid energy bills.
This is causing consumers to be left with a large bill from prior years of underpaid bills, since most energy bills are based on estimates instead of actual meter readings. This happens because the energy suppliers only have to read the actual meter every two years.
This has caused Which? to become concerned that there may be cases where consumers believe they are paying the correct amount for their energy, but the bills are only based on estimates. This means that the customers could be building up a massive credit or debit on their account.
Which? has written the Office of Fair Trading (OFT) as well as Ofgem to ask them to investigate these practices by energy suppliers that allow excessive debts to accumulate since it breaches the CPRs.
Dr. Fiona Cochrane who is a Which? energy campaigner stated it is the responsibility of the energy supplier to let the consumers know about the huge debts associated with the underpaid accounts since many consumers are not aware of the debt. She stated that Which? wants the OFT and Ofgem to become stricter about these practices by the energy suppliers since it breaches the CPRs.
She further stated that in order for consumer to avoid nasty shocks in the future, that it is advisable that consumers read their meters and send that information to their energy suppliers. She also advised consumers to keep track of their accounts to make sure the updated information has been used.
In May and June, Which? did an online survey of panel members about energy suppliers with 3,357 responses for gas and 3,957 for electricity.
The information from the Which? panel members regarding their energy companies and money were:
- The energy suppliers increased the monthly bills from about £90 per month to over £220 per month.
- One member stated the energy supplier contacted them to state they owed over £400 for gas and over £300 for electricity. And if the individual didn’t pay off the amounts, the supplier would quadruple the debt.
Which? is a leader in independent consumer campaigns in the United Kingdom. They provide expert and impartial information on services and products within their magazines, books, and website that is designed to help consumers make better decisions on various issues. The subjects covered by Which? include food, health, estate agents, and finances. For further information visit the website http://www.which.co.uk/campaigns.
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