Energy suppliers double direct debits

Back to News
Continuous support

We will be there for you when you need us with day-to-day issues and your financial administration will be managed proactively by your Client Manager


Find out more


Relationships

Nearly all our clients are referred by existing clients, a testament to our service.


Energy suppliers double direct debits

Direct debit payments have at least doubled for one in four energy users, research claims.

Energy prices went up by 54% in April, but some direct debits went up 100%. Money expert Martin Lewis said: “That smells wrong.” According to Lewis they should only be seeing rises in line with the price cap, 45% to 65%.

Households already buckling under the cost-of-living crisis are facing soaring direct debits for energy bills with one in four customers claiming theirs have at least doubled, despite being on a price cap and in credit.

A survey by MoneySavingExpert.com found firms including British Gas were among those users complained about. Watchdog Ofgem, which allowed suppliers to increase prices by an average of 54% at the start of April, has vowed to look into the claims. The average rise for Octopus customers was said to be 80%, with 32% claiming their payments had more than doubled. For Shell Energy, 30% said direct debits had doubled, with the average increase being 70%. In the survey, conducted between April 26 and May 3, 27% of E.on users said theirs had gone up by 100% or more, with the average at 71%.

Mr Lewis urged affected customers to challenge their payments and if suppliers refuse to lower them then complain to the Energy Ombudsman.

 

Essential Wealth Management
1-2 Great Farm Barns
West Woodhay
Newbury
Berkshire RG20 0BP
Tel: 01488 669840
Fax: 01488 669216
Email: [email protected]

Essential Wealth Management is a trading style of Essential Wealth Management and Advice Ltd, registered in England Number 04020006. Registered Office: 1-2 Great Farm Barns, West Woodhay Newbury, Berkshire, RG20 0BP. Essential Wealth Management and Advice Ltd is an appointed representative of The Openwork Partnership, a trading style of Openwork Limited which is authorised and regulated by the Financial Conduct Authority.

The information on this website is subject to the UK regulatory regime and is therefore targeted at consumers in the UK.

Approved by the Openwork Partnership on 13.10.2023