Utility suppliers 'keep customer overpayments'
Published On 13 April 2007
Nearly nine million UK gas customers have paid too much for their utilities, according to a new report.According to consumer website moneysupermarket, 8.7 million customers are currently in credit with their gas supplier and one in eight have paid more than £100 too much for their utility.
The problem occurs, the website says, when gas prices drop for customers who pay their utility bills via direct debit. As it can take up to six months for the gas supplier to change direct debit payments, customers pay over-the-odds for several months before seeing their prices fall.
This means that gas suppliers have amassed a 'cash float' of £490 million - £56 per customer in credit.
"With an energy price war finally gathering pace, it is vital customers reap the rewards as soon as possible," said Paul Schofield, head of utilities at moneysupermarket.com.
"Six months is an unacceptable period of time to continue paying over-the-odds, but customers can take matters into their own hands by contacting their supplier and requesting an immediate direct debit review."
Moneysupermarket's survey also found that 80 per cent of people who had credit on the gas utility will never bother to claim this money.
Recently, the gas and electricity watchdog, energywatch, reported that gas prices have increased by 90 per cent since 2003.
