Before disputing your energy bill, it’s important to consider this action carefully.
Whilst disputing your bill can seem like a good idea, especially if your costs are high — it may not be the best way to improve your situation if you are struggling. It could also cause problems for you in future.
In this post, we’ll explain what a dispute is, go into more detail about what happens when you dispute, and run through what to consider if you’re concerned about keeping on top of your payments.
What is a dispute?
A dispute is when a customer raises an issue with their bill with their utility company. Disputes happen when customers feel like their utility company has mishandled something or got something wrong.
For example, someone may raise a dispute if they think they’ve been charged for more energy than they’ve used.
How are energy bills calculated?
Energy bills are calculated on the units of energy (kilowatt hours) you use. Your energy supplier will use meter readings, either the ones you provide manually or through a smart meter, to work out your usage.
If they don’t have meter readings for you, then your usage will be estimated instead.
Your bill will indicate whether your readings have been estimated or not, and for how much energy you have been charged.
The amount you are charged per unit can depend on your supplier and your tariff. You can find what tariff you are on by looking at your energy bills. These prices may change in line with the energy price cap increase. This is why, even on a fixed tariff, the price of your bills may fluctuate.
What happens when you raise a dispute?
Your supplier will investigate your case to make sure they have taken your actual usage (where possible) into account when calculating your bills.
If your supplier finds that they billed you for more energy than you used, your bill should be updated.
Likewise, your supplier could end up charging you more if they discover that you were previously undercharged. This could come in the form of a consolidated bill or back-bill.
Back-bills can include a charge for all your unpaid energy since your supply began, and not just for that particular month. If your company has been undercharging you for a while, this could be quite a large bill.
Your energy company is not allowed to back-bill you for energy you used more than 12 months ago. So make sure you check the dates on your bill.
If your energy company finds they have billed you accurately, you will be liable to pay the full amount. If you don’t pay for your energy or do not engage with your supplier in any way, they could take action against you.
Not sure whether to raise a dispute?
You can read through this article to understand how to check your bill if you feel you have been charged too much for your energy.
Your supplier should keep in touch with you about changes to their pricing, so you should also review any communications from them to see if this is the cause.
Other common explanations for a larger energy bill are:
- Your bill has been based on estimated meter readings.
- You have recently started using an appliance which uses more energy e.g. a tumble dryer.
- It is a consolidated or back-bill.
In some cases, it’s worth disputing your bill, but only if the usage your energy supplier has charged you for is incorrect (e.g. your meter reading was wrong), or estimated.
If you still don’t understand why your energy bill has increased you should contact your energy supplier for an explanation as soon as you can. If something is wrong you should have the opportunity to raise a dispute.
If your usage seems correct but your bills are too much…
1. Contact your energy supplier as soon as you can
There is support available if you are struggling to pay for your energy. If you are worried, it is important to let your supplier know so they can support you.
When you get in touch your supplier could:
- Discuss your circumstances in more detail and suggest a solution to suit you.
- Give you some space to allow you to explore your options.
- Refer you to organisations who can offer you help.
- Place a hold on any debt collection activity to give you time to find support.
2. Consider whether you can keep on top of your bills for the time being
Getting the right support or exploring your options can sometimes take time. If you are not paying your energy bills in the meantime it could cause problems for you in future by leaving you in debt.
If you are already in debt, you should consider whether you are able to keep paying your usage for now so that your balance won’t increase. When you contact your supplier they should discuss manageable payment options with you.
If you don’t think you can afford your current bills, even for a short time, you must contact your supplier so they know you need urgent help.
3. Find the support you need
There is help available to relieve the pressure from the energy crisis. You can find lots of information in our help centre.
4. Not sure where to start?
With so much information out there it can be overwhelming to know where to begin. If you know you need help but aren’t sure what to start with you could use the tools below to help you think things through:
- Work out which bills to prioritise.
- Work out which debts to deal with first.
- Find welfare, benefits, and grants that are relevant to your situation.
- Check what benefits you could be entitled to.
Your first step could simply be deciding to talk to someone for more advice. You can find a local adviser for benefits, housing, jobs, and legal issues here. You can find a list of free debt advice organisations here.