ESNZ Chair Bill Esterson questions to Ofgem on rule-breaking back-billing

Ofgem rules are clear that if companies do not send a bill within 12 months of the energy use it covers, they lose the right to claim payment for it. But the BBC had a large response to its investigation from people across the country who had received bills sometimes for many thousands of pounds for energy use more than 12 months before.  

Many reported that when they approached their supplier with concerns that the bill was wrong but – even where they were aware of the 12 month rule - they were told they had to pay and some experienced stressful, high-pressure tactics to claim amounts that were not in fact rightfully owed. Many were forced to progress their case to the energy ombudsman before having the bill cancelled in line with the clear regulation. Over 3,000 complaints about back-billing made it all the way to the ombudsman in the year to September 2024. 

Chair of the Committee Bill Esterson has now written to Ofgem with questions on this wrongful back-billing, including how widespread the problem is and what action Ofgem is taking with suppliers to both prevent and remediate it.  

The Committee will shortly launch a new inquiry into wider issues of energy billing and costs, that will include back-billing – details to follow.

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