Received an unexpected energy bill?
Don’t assume the amount is right.
First, check the meter readings, dates and charges. Most importantly, find out when the energy was used.
If your supplier is trying to charge you now for energy used more than 12 months ago, back-billing rules may protect you.
Why Might a Bill Be Wrong?
Energy bills can go wrong for many reasons.
For example:
- your supplier used an estimated meter reading
- a meter reading was entered incorrectly
- the wrong tariff was used
- a payment is missing
- your supplier did not bill you correctly
- something went wrong when you switched supplier
- there is a problem with your meter
So, check an unexpected bill before accepting that you owe the full amount.
Check the Meter Readings
Start with the meter readings on the bill.
Check whether they are actual readings or estimates.
Then compare them with your meter.
If your supplier has used estimates for a long time, your bill may suddenly rise when an actual reading is used.
This does not always mean the new bill is wrong.
Instead, earlier bills may have been too low.
Learn more: Read Your Energy Meter →
Check the Dates
Next, look at the dates covered by the bill.
Ask:
When was this energy actually used?
This is especially important if you have received a large bill covering a long period.
If some of the energy was used more than 12 months ago, back-billing rules may apply.
What Is Back-Billing?
Back-billing is when a supplier charges you now for energy used in the past that you were not correctly charged for at the time.
This can happen because of:
- billing mistakes
- inaccurate estimates
- meter problems
- problems with your account
However, there are rules about how far back a supplier can charge you in some situations.
What Is the 12-Month Rule?
In Great Britain, you generally should not have to pay for energy used more than 12 months ago if you were not previously given an accurate bill or told what you needed to pay for that energy.
The protection can also apply in some cases where your supplier set your Direct Debit too low.
However, there are exceptions.
So, don’t assume every debt over 12 months old will be removed.
When Might You Still Have to Pay?
You may still have to pay if you were correctly billed for the energy but did not pay the bill.
The protection may also not apply if your actions stopped the supplier from billing you correctly.
For example, this could include:
- unreasonably blocking access to your meter
- ignoring requests for payment
- stealing gas or electricity
So, don’t ask only:
“Is this debt more than 12 months old?”
Also ask:
“Was I correctly billed for this energy before?”
That difference matters.
A Simple Example
Imagine your supplier has not billed you correctly for two years.
It then discovers the mistake and sends you one large bill for the whole period.
If the back-billing rules apply, you would not normally have to pay for energy used more than 12 months before the corrected bill.
However, you would still need to pay any amount that can be correctly charged under the rules.
What If My Direct Debit Was Too Low?
A low Direct Debit can cause debt to build up.
However, there is a difference between:
You using more energy than expected
and
Your supplier setting your payments too low.
Back-billing protection can apply in some cases where the supplier set your Direct Debit too low to cover what you needed to pay.
So, if your supplier suddenly increases your payments to recover an old balance, check:
- when the energy was used
- why the debt built up
- whether you were correctly billed at the time
- whether the back-billing rules apply
What If I Think the Bill Is Wrong?
Contact your supplier.
Explain clearly what you think is wrong.
For example:
“The meter reading on this bill is wrong.”
Or:
“Part of this bill appears to cover energy used more than 12 months ago. Please check whether the back-billing rules apply.”
Then ask the supplier to explain how it worked out the amount.
What If I Owe the Money?
If the bill is correct and back-billing protection does not apply, you will still need to deal with the balance.
However, you do not necessarily have to pay a large debt all at once.
If you cannot afford the payment, contact your supplier as soon as possible.
Ask about a payment plan based on what you can afford.
Don’t ignore the bill and allow the problem to grow.
Learn more: Energy Debt and Support →
What If I Have Paid Too Much?
You may have the opposite problem.
For example, your account may build up credit if your Direct Debit payments are higher than the cost of the energy you use.
You can ask your supplier to refund credit.
However, keeping some credit can help cover higher energy use during winter.
If your supplier refuses a refund, ask it to explain why.
Keep Good Records
Keep anything that could help show what happened.
This could include:
- old bills
- meter readings
- photographs of your meter
- bank statements
- payment records
- emails
- letters
- screenshots
- account statements
Also make notes of important phone calls.
Write down the date, what was discussed and what was agreed.
Good records can make it much easier to challenge a bill or make a complaint.
What If the Supplier Disagrees?
If you think the back-billing rules apply but your supplier still wants the full amount, ask it to explain why.
Ask for the answer in writing.
In particular, ask:
- What dates does the bill cover?
- When was the energy used?
- Was I previously billed for it?
- Why do you believe the back-billing rules do not apply?
If you are still unhappy, make a formal complaint.
Learn more: Complaints and the Energy Ombudsman →
What Should You Do Now?
If you receive a large or unexpected bill:
- Check the meter readings.
- Check the dates.
- Check the tariff, payments and other charges.
- Find out when the energy was used.
- Check whether the 12-month back-billing rule may apply.
- Contact your supplier if something looks wrong.
- Keep copies of bills, readings and messages.
- Make a formal complaint if the problem is not put right.
If the bill is correct but you cannot afford it, ask your supplier for help as soon as possible.
Key Points
- Check any large or unexpected bill carefully. Look at the meter readings, dates, tariff, payments and charges.
- Find out when the energy was used. This is important when checking whether back-billing rules apply.
- You generally should not have to pay for energy used more than 12 months ago if you were not previously correctly billed or told what you needed to pay.
- The 12-month rule does not remove every old debt. If you were correctly billed but did not pay, you may still owe the money.
- Your actions can affect whether you are protected. The rules may not apply if you unreasonably stopped the supplier from billing you correctly.
- A Direct Debit set too low by your supplier may also be relevant. Check how and when the debt built up.
- Ask your supplier to explain anything you do not understand. You can also ask why it believes back-billing protection does not apply.
- Keep good records. Bills, meter readings, photographs, payments and messages can all help if there is a dispute.
- Complain if the problem is not put right.
- Ask for help early if you cannot afford a correct bill. Your supplier may be able to arrange a suitable payment plan.
Most importantly, an old charge is not automatically a charge you have to pay. Check when the energy was used, whether you were correctly billed for it before and whether the back-billing rules apply.
Important Information
Energility provides general information to help you understand energy, household and business costs, services and ways to save money. It is not financial, legal, tax, technical or professional advice.
Prices, tariffs, grants, government schemes, regulations and other information can change. Costs, savings and calculator results are estimates and your actual results may be different.
Before making an important financial decision, signing a contract or carrying out significant work, check the latest information and consider getting advice from a suitably qualified professional where needed.
Energility may receive a commission or other benefit from some links or services. Where this applies, we aim to make it clear. This does not increase the price you pay unless stated otherwise.
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