Saturday 7 December 2013

More suppliers limit energy back-billing for small businesses

More suppliers limit energy back-billing for small businesses

More energy suppliers have pledged to limit how far back they can charge small businesses for their energy to one year.

It comes as a national campaign to get people shopping locally and on the high street began today called ‘Small Business Saturday’.

British Gas, EDF Energy, npower, ScottishPower, First Utility, Good Energy and Opus have said they will do so by the end of the year or as soon as they can in 2014.

E.ON and SSE have already done so. Today rgulator Ofgem welcomed the news and says the fresh supplier action follows on from work it has done with government on the issue.

Philip Cullum, Consumer Partner at Ofgem said: “Small businesses have told us they’re worried about facing big energy bills out of the blue and our latest data reveals that suppliers’ record on so-called ‘back-billing’ is poor but moving in the right direction.”

The regulator says it noticed suppliers have “already” been moving towards a one year limit with most back-bills popping up no more than three years from the issue date and less than £2,000 in value.

It plans to widen existing safeguards so that from 31 March 2014, up to 160,000 more small businesses can get “clear information” on the key facts about their contracts.

Written by

Bruna Pinhoni

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