0:00:02 > 0:00:06We asked you to tell us who's left you feeling ripped off.
0:00:06 > 0:00:09I think this is very, very, very wrong for what they have done.
0:00:09 > 0:00:13The bank piles charges upon charges upon charges.
0:00:13 > 0:00:14Legally, it was right.
0:00:14 > 0:00:18Morally, that's where the question of doubt comes in my view.
0:00:18 > 0:00:22And you contacted us in your thousands, by post, email,
0:00:22 > 0:00:26even stopping us in the street.
0:00:26 > 0:00:28And the message could not be clearer.
0:00:28 > 0:00:31You don't get a straight answer, they're trying to fob you off.
0:00:31 > 0:00:32I'm not happy at all.
0:00:32 > 0:00:36There's always that small print that's got the clause in that you didn't realise.
0:00:36 > 0:00:38We're being ripped off, big time.
0:00:38 > 0:00:41Whether it's a deliberate rip off, a simple mistake,
0:00:41 > 0:00:46or a catch in the small print, we'll find out why you're out of pocket
0:00:46 > 0:00:48AND what you can do about it.
0:00:48 > 0:00:51Keep asking the questions, you know, go to the top if you have to.
0:00:51 > 0:00:54We get results, that's the interesting thing.
0:00:54 > 0:00:58Your stories, your money, this is Rip-Off Britain.
0:01:00 > 0:01:06Hello and welcome to Rip-Off Britain, the series that fights to sort out your complaints
0:01:06 > 0:01:09and makes sure no one takes advantage of you or your money.
0:01:09 > 0:01:14Too right! Today we tackle a subject that affects every one of us,
0:01:14 > 0:01:18and can leave you feeling confused or ripped-off - energy bills!
0:01:18 > 0:01:21- The dreaded energy bills.- Exactly.
0:01:21 > 0:01:26It's on everybody's minds during the winter with these higher prices.
0:01:26 > 0:01:30We'll be looking at some of the mistakes energy companies make
0:01:30 > 0:01:32when it comes to your bills
0:01:32 > 0:01:36and exposing the hidden hikes you may not have spotted.
0:01:36 > 0:01:39Coming up: Why the cost of a boiler break down
0:01:39 > 0:01:42has left hundreds hot under the collar.
0:01:44 > 0:01:48We are not happy about it, because we're paying £199 for it.
0:01:48 > 0:01:52Plus, paying the price of the energy companies' mistakes.
0:01:52 > 0:01:55Backdated bills for tens of thousands of pounds.
0:01:55 > 0:02:00The additional amount being asked for was a very alarming £38,000.
0:02:00 > 0:02:06And we lay on some expert advice at our one-stop pop-up shop.
0:02:06 > 0:02:11The huge rise in our energy bills couldn't have come at a worse time.
0:02:11 > 0:02:17It's estimated that up to a quarter of households in the UK are living in so-called fuel poverty
0:02:17 > 0:02:21when more than 10% of your total income goes on keeping warm.
0:02:21 > 0:02:25But what if the increases are only the tip of the iceberg?
0:02:25 > 0:02:32Trevor Watson worked out that the price rises in his bill were far higher than he'd read about.
0:02:32 > 0:02:34In fact, up to 40% higher.
0:02:34 > 0:02:37So we decided to investigate.
0:02:44 > 0:02:46This winter, for millions of people,
0:02:46 > 0:02:50the cost of keeping warm is more worrying than ever.
0:02:50 > 0:02:54Which is why we've heard from so many people concerned about their bills.
0:02:54 > 0:02:56Among them, Trevor Watson.
0:02:58 > 0:03:01When I did the maths on mine, the huge increases,
0:03:01 > 0:03:06I thought, "This cannot be true. It's totally unacceptable."
0:03:06 > 0:03:08I was so angry. I could not believe it.
0:03:08 > 0:03:11Trevor gets his energy from Scottish Power,
0:03:11 > 0:03:14after switching in December 2010.
0:03:14 > 0:03:19When he's not volunteering at a local National Trust orchard,
0:03:19 > 0:03:23this retired project manager knows how to root out a good deal.
0:03:23 > 0:03:30I came across Scottish Power's online energy saver 2011.
0:03:30 > 0:03:32And that suited me.
0:03:32 > 0:03:35So I switched to that in December, 2010.
0:03:35 > 0:03:42And everything was fine until I saw these horrendous price rises being proposed.
0:03:42 > 0:03:47In June 2011, Scottish Power advertised an average price increase
0:03:47 > 0:03:50of 10% on electricity and 19% on gas.
0:03:50 > 0:03:54For the average dual fuel customer,
0:03:54 > 0:03:58that works out at £174 increase on the yearly bill,
0:03:58 > 0:04:04but thanks to the particular tariff that he was on, Trevor faced an even bigger price hike.
0:04:05 > 0:04:07I investigated my own tariff
0:04:07 > 0:04:11and I was absolutely horrified when I worked out
0:04:11 > 0:04:15that the increase they were proposing for my electricity
0:04:15 > 0:04:20was up to 25%, and for gas was a whopping 61%.
0:04:20 > 0:04:2361%?! I just couldn't believe it.
0:04:26 > 0:04:29When I worked out the cost for myself
0:04:29 > 0:04:31on my own annual consumption,
0:04:31 > 0:04:37it worked out as a whopping 40% increase or about £420.
0:04:37 > 0:04:40That is just totally unsustainable.
0:04:41 > 0:04:44Trevor contacted the company to point out the discrepancy
0:04:44 > 0:04:47between the advertised price rises
0:04:47 > 0:04:51and what his own increase would be. They responded stating
0:04:51 > 0:04:54the reason for the larger than average increase
0:04:54 > 0:04:58was due to him being on one of their most competitive tariffs.
0:04:58 > 0:05:01And that made me even more angry,
0:05:01 > 0:05:06because they gave two reasons for my horrendous increase in prices.
0:05:06 > 0:05:10The first was that I was on one of their most competitive tariffs.
0:05:10 > 0:05:15That's a fact, not a reason to take away the competitive element.
0:05:15 > 0:05:19And the second one was that there was a price rise in November, 2010,
0:05:19 > 0:05:22which I missed! Totally irrelevant,
0:05:22 > 0:05:25because I didn't even join Scottish Power until December.
0:05:28 > 0:05:33'It makes me angry because I feel impotent'
0:05:33 > 0:05:36that I'm just a single person trying to battle against
0:05:36 > 0:05:39these big giants who make billions of pounds of profit.
0:05:42 > 0:05:48Scottish Power told us their prices have risen because their own costs
0:05:48 > 0:05:50have increased significantly.
0:05:50 > 0:05:53The figures they announced were averages across Britain
0:05:53 > 0:05:56for all products and payment methods,
0:05:56 > 0:05:59but every customer then got an individual letter
0:05:59 > 0:06:02allowing them to cancel without any penalty.
0:06:02 > 0:06:06They say Trevor's tariff was a limited online offer,
0:06:06 > 0:06:08and even though prices had to increase,
0:06:08 > 0:06:12it will still track 2% below standard direct debit prices.
0:06:12 > 0:06:19Energy price comparison experts say rather than settling for higher bills, consumers should think
0:06:19 > 0:06:23about switching supplier as there's still big money to be saved.
0:06:23 > 0:06:27The energy companies have made it incredibly complicated
0:06:27 > 0:06:32to understand what tariff you're on and how much energy you use,
0:06:32 > 0:06:36and it's putting a lot of people off wanting to get involved.
0:06:36 > 0:06:39Don't give up. If you do, they will win
0:06:39 > 0:06:43and you will forego that 15% or 20% you'd cut off your bill.
0:06:43 > 0:06:49The good news is it's getting easier, the regulator's making them simplify their tariff structures.
0:06:49 > 0:06:53But is the British public getting the energy switching message?
0:06:53 > 0:06:58- Do you ever shop around for different tariffs?- Oh, yes.
0:06:58 > 0:07:01I do. I do all the time.
0:07:01 > 0:07:07- But are you aware of how many tariffs there are within each company?- No, I'm not.
0:07:07 > 0:07:11But I'd sooner stick to what I do.
0:07:11 > 0:07:15- So you might be able to save a bit of money?- Perhaps so,
0:07:15 > 0:07:18but I haven't got a computer or anything,
0:07:18 > 0:07:20so I just carry on the way I am.
0:07:20 > 0:07:23I've tried to get my tariff fixed,
0:07:23 > 0:07:27so I did a bit of online research just to get a feel for the prices
0:07:27 > 0:07:29before I committed to anything.
0:07:29 > 0:07:31How long did you get it fixed for?
0:07:31 > 0:07:37- A year.- So you were ahead of the game.- Every penny counts!- Sure does.
0:07:37 > 0:07:41Trevor's now swapped his tariff for a fixed one.
0:07:41 > 0:07:47To me, there just seems to be something rotten in the energy industry and their prices.
0:07:47 > 0:07:49If nothing changes,
0:07:49 > 0:07:53there's nothing to stop them doing this over and over again.
0:07:53 > 0:07:57But he doesn't think any individual energy company is a bad apple.
0:07:57 > 0:08:02He'd like to see all their prices overhauled, root and branch.
0:08:04 > 0:08:08Well, we can't all work out our bills as well as Trevor,
0:08:08 > 0:08:12so if you'd like a bit of help, you can find advice on our website:
0:08:19 > 0:08:24When you've got a problem, it can be hard to know where to turn.
0:08:24 > 0:08:26So to help, for one weekend in September,
0:08:26 > 0:08:29we opened a pop-up shop in Manchester,
0:08:29 > 0:08:32offering free consumer advice from a range of experts.
0:08:33 > 0:08:36Scott Byrom from Moneysupermarket
0:08:36 > 0:08:39was kept busy dealing with worries about energy bills -
0:08:39 > 0:08:42how to work them out, and how to pay for them.
0:08:42 > 0:08:45Janet had been paying her energy bills by direct debit,
0:08:45 > 0:08:48which she thought would be more straightforward,
0:08:48 > 0:08:50but that wasn't how it turned out.
0:08:50 > 0:08:56In January 2010, I was surprised when I got a bill for £400,
0:08:56 > 0:08:59saying that I was in arrears of £400
0:08:59 > 0:09:02and that they were going to take it out the following month.
0:09:02 > 0:09:06I thought, "Fair enough if I've not been paying enough."
0:09:06 > 0:09:08I did pay that off.
0:09:08 > 0:09:11They increased my direct debit payments,
0:09:11 > 0:09:15then in the summer they wrote to me saying I was now in credit.
0:09:15 > 0:09:17'Now Janet was in credit,
0:09:17 > 0:09:20'the utility company cut her direct debit to £48 a month.'
0:09:20 > 0:09:27So consequently again, after this winter, I received a huge bill,
0:09:27 > 0:09:32because we had such a harsh winter, of £700 in arrears
0:09:32 > 0:09:35which they just want to take out the following month.
0:09:35 > 0:09:40This kind of thing shouldn't happen? They are at fault for handling her like that?
0:09:40 > 0:09:45Also, the idea of a monthly direct debit is it's balanced throughout the year.
0:09:45 > 0:09:49I don't understand why they've changed your direct debit
0:09:49 > 0:09:51from £120 down to £48.
0:09:51 > 0:09:53That's a huge dip.
0:09:53 > 0:09:58The first thing I'd advise you do is make sure the meter is correct.
0:09:58 > 0:10:02Take a meter reading, leave it for a week and read what it is again.
0:10:02 > 0:10:06That should then identify whether your meter is running correctly
0:10:06 > 0:10:11and indicates whether this debt that you're now in is yours to pay.
0:10:11 > 0:10:15The general advice is to be more proactive about your energy bill,
0:10:15 > 0:10:19so if you're on top of it, you're taking your own meter readings,
0:10:19 > 0:10:22you should be aware of how much you're paying,
0:10:22 > 0:10:26and hopefully, you'll avoid finding yourself £600 in debt.
0:10:26 > 0:10:28Janet, good advice there, I think,
0:10:28 > 0:10:31and with a bit of luck, it shouldn't happen again.
0:10:31 > 0:10:34Let's hope not. Thanks for coming in.
0:10:34 > 0:10:37- Thank you very much.- Cheers. Bye.
0:10:37 > 0:10:41Other consumers used our specially constructed gripe box
0:10:41 > 0:10:44to air their frustrations about the energy price hikes.
0:10:44 > 0:10:49Although the big six energy companies have now started to drop prices,
0:10:49 > 0:10:52they're not putting them down by as much as they went up.
0:10:52 > 0:10:56Hello, I want to speak on behalf of all the rest of the household owners
0:10:56 > 0:10:59regarding the electric and gas bills going so high.
0:10:59 > 0:11:03Don't you find electric bills go up, up and up?!
0:11:03 > 0:11:07And then you look in the paper and find out these electric firms
0:11:07 > 0:11:11are making millions of pounds of profit - for who?!
0:11:13 > 0:11:17With all of us paying more for gas and electricity bills this winter,
0:11:17 > 0:11:22it is of course a good idea to try to save money by becoming more energy efficient.
0:11:22 > 0:11:26Having your old boiler replaced with that shiny, new condenser boiler
0:11:26 > 0:11:29is a great start, but I warn you, there's no instant return,
0:11:29 > 0:11:33because they don't come cheap. Now, imagine the frustration if,
0:11:33 > 0:11:36after you shelled out thousands of pounds to get one,
0:11:36 > 0:11:39winter strikes and your boiler packs up.
0:11:39 > 0:11:41It's bound to get you hot under the collar.
0:11:42 > 0:11:45December 2010.
0:11:45 > 0:11:51The fiercest cold snap for a century left us all sheltering in the warmth of our homes.
0:11:51 > 0:11:53But not everyone was suffering.
0:11:53 > 0:11:58The UK's biggest domestic energy supplier, British Gas,
0:11:58 > 0:12:00has reported profits of £742 million.
0:12:00 > 0:12:05And those profits were a double blow for some British Gas customers.
0:12:05 > 0:12:08Not only are they now paying higher energy bills,
0:12:08 > 0:12:12but thousands of them have also been told they'll have to shell out
0:12:12 > 0:12:15even more money to fix a problem with a particular type of boiler
0:12:15 > 0:12:17which British Gas sold them.
0:12:17 > 0:12:22Every year, a million people need to replace their boilers, and it's now
0:12:22 > 0:12:27a legal requirement that when you do, you install the condenser type.
0:12:27 > 0:12:30These new models may be efficient,
0:12:30 > 0:12:34but they're not always fans of sub-zero weather, breaking down
0:12:34 > 0:12:38and leaving people without heat at the very time they need it most.
0:12:40 > 0:12:44And that's what happened to Jean and Gordon, who, in 2005,
0:12:44 > 0:12:50paid £4,016 to have a new Glowworm condenser installed by British Gas.
0:12:50 > 0:12:54Well, five toasty years followed, until Christmas Day 2010,
0:12:54 > 0:12:58when their boiler suddenly threw in the towel.
0:12:58 > 0:13:01I got up and said, "It's a bit cold in here."
0:13:01 > 0:13:06I felt the radiators, cos they should have come on, and he said,
0:13:06 > 0:13:07"Well, I don't know."
0:13:07 > 0:13:12The problem was down to the extreme cold we all felt in December 2010.
0:13:12 > 0:13:14Temperatures of -20 caused the boiler to stop working
0:13:14 > 0:13:18because a small plastic pipe designed to vent
0:13:18 > 0:13:23condensation had gradually frozen, causing the system to shut down.
0:13:23 > 0:13:26An engineer came out and confirmed the pipe would need replacing,
0:13:26 > 0:13:29at a cost of £199.
0:13:30 > 0:13:34Well, we were not happy about that, because to us
0:13:34 > 0:13:39it's a design fault, so whether it is a fault of the manufacturers of
0:13:39 > 0:13:47the system, or British Gas doing it, it's just not fit for use, really.
0:13:47 > 0:13:50Not in those circumstances.
0:13:50 > 0:13:54And you can see why they might say that -
0:13:54 > 0:13:57because their broken boiler wasn't a one off.
0:13:57 > 0:14:00British Gas has written to 46,000 customers who suffered
0:14:00 > 0:14:05similar breakdowns in 2010, advising them that they now need to
0:14:05 > 0:14:09fit an extra part so the same thing doesn't happen this winter.
0:14:09 > 0:14:15That can cost between £149-199.
0:14:15 > 0:14:18Jean and Gordon are having theirs replaced today.
0:14:19 > 0:14:22This is the pipe, up here, that hung down the wall
0:14:22 > 0:14:25and goes into the guttering.
0:14:25 > 0:14:27That is the pipe that was freezing in the winter.
0:14:27 > 0:14:31They put the boiler in - as far as we knew, it was a workable boiler.
0:14:31 > 0:14:35OK, it's six years old, but nobody should give you something that
0:14:35 > 0:14:39you cannot use full time, whether it's hot or cold.
0:14:42 > 0:14:45Two hours later, here's the new-look winter pipe,
0:14:45 > 0:14:49fitted with a part called a trace element.
0:14:49 > 0:14:54Effectively, a hot wire, which warms the plastic pipe to prevent freezing.
0:14:54 > 0:14:56And the couple are nearly £200 lighter.
0:14:57 > 0:15:03We are not happy about it, because we're paying £199 for it,
0:15:03 > 0:15:07but we're just going to hope and pray that it will work for us.
0:15:08 > 0:15:12If every one of the 120,000 new condenser boilers which
0:15:12 > 0:15:14British Gas have installed each year
0:15:14 > 0:15:18since 2005 needed to be upgraded this way, then what they're
0:15:18 > 0:15:22charging for the new part would bring in over £107 million.
0:15:23 > 0:15:26So, is that just adding to their profits, or does
0:15:26 > 0:15:32the boiler have a fundamental flaw which they should repair for free?
0:15:32 > 0:15:35We asked them, and they said no.
0:15:35 > 0:15:38British Gas told us it's only during the prolonged freezing
0:15:38 > 0:15:42weather of the last two years that the problem came to light.
0:15:42 > 0:15:46To prevent it, they now install pipes on the inside whenever possible.
0:15:46 > 0:15:50And for outdoor pipes, they supply the part that Jean and Gordon had fitted.
0:15:50 > 0:15:54But they say they do so at cost-price, making no profit.
0:15:54 > 0:15:59The boiler's manufacturer, Glowworm, says there's no fundamental fault,
0:15:59 > 0:16:03pointing out that the external pipe worked for
0:16:03 > 0:16:08five typical winters, and that the more extreme winter of 2010 affected
0:16:08 > 0:16:11all manufacturers and installers, not just them,
0:16:11 > 0:16:13which the industry's lead trade body,
0:16:13 > 0:16:18the Heating and Ventilating Contractors Association, has confirmed.
0:16:18 > 0:16:20But Jean and Gordon, as you imagine,
0:16:20 > 0:16:23are still disappointed that they had to pay.
0:16:23 > 0:16:25It doesn't feel fair, it doesn't feel right.
0:16:31 > 0:16:34At a time when money is tighter than ever, you need to know
0:16:34 > 0:16:38your cash is working hard for you, avoiding rip-offs along the way.
0:16:39 > 0:16:42So, we've put together a booklet of tips
0:16:42 > 0:16:45and advice to help safeguard your money.
0:16:45 > 0:16:48You can find a link to the free guide on our website.
0:16:52 > 0:16:55Or, to receive a copy in the post, send an A5 self-addressed
0:16:55 > 0:16:59envelope to the address we'll be giving at the end of the programme.
0:17:00 > 0:17:03Hundreds of small businesses are being hit with crippling bills
0:17:03 > 0:17:08because it turns out that for years they've been undercharged.
0:17:08 > 0:17:13Even though they knew nothing about it, they are now suddenly being told, "Pay up!"
0:17:18 > 0:17:23Rick Waters owns a small independent shopping centre in Rye, Sussex.
0:17:23 > 0:17:25Home to around 20 small businesses,
0:17:25 > 0:17:31he's been running it for the last 20 years and it's become an established part of the local community.
0:17:33 > 0:17:39The secret to the shopping centre's success is that Rick keeps running costs low.
0:17:39 > 0:17:45But in January of 2011, he received a letter from his electricity supplier, EDF Energy,
0:17:45 > 0:17:47that threatened all of that.
0:17:49 > 0:17:51We received a huge envelope from EDF Energy
0:17:51 > 0:17:58which contained a demand for just under £60,000.
0:17:58 > 0:18:04Now, the normal monthly bill at the time was about 200, maybe 250.
0:18:05 > 0:18:08To make matters worse, the bill -
0:18:08 > 0:18:12or bills, because there were no less than 192 pages of invoices
0:18:12 > 0:18:14going back four years -
0:18:14 > 0:18:18arrived during Christmas, when the centre was shut!
0:18:18 > 0:18:23So I didn't actually pick up the envelope until 7th January
0:18:23 > 0:18:27and by that time, we'd received another letter which was a reminder
0:18:27 > 0:18:32dated 4th January, saying "You should have paid this by now."
0:18:32 > 0:18:35I mean, some of this defies belief.
0:18:35 > 0:18:38With no easy way of getting hold of £60,000,
0:18:38 > 0:18:42Rick feared that he'd have to close the shopping centre.
0:18:42 > 0:18:45That, or make himself very unpopular with the tenants.
0:18:45 > 0:18:47'You can't go round to the tenants
0:18:47 > 0:18:50and say, "Right, that's £2,500 each, please."'
0:18:50 > 0:18:52Life doesn't work like that.
0:18:52 > 0:18:56So why exactly was Rick sent such an enormous bill?
0:18:57 > 0:19:00Well, it seems that in January 2007,
0:19:00 > 0:19:04EDF made what they call an "administration error"
0:19:04 > 0:19:08and started billing the centre for ten times less electricity
0:19:08 > 0:19:10than they were actually using.
0:19:10 > 0:19:14The result - a whopping backdated bill
0:19:14 > 0:19:18and no way of paying it back.
0:19:18 > 0:19:22On 14th January they sent a threatening letter
0:19:22 > 0:19:26saying, "You haven't paid the bill. If it's not paid within five days,
0:19:26 > 0:19:29"we're going to come and cut you off, take you to court."
0:19:30 > 0:19:35Domestic customers can only be asked to pay bills dating back 12 months,
0:19:35 > 0:19:41but Rick is far from being the only person to have discovered a very different situation for businesses.
0:19:43 > 0:19:47The Crossing Church And Centre in Worksop is a charity
0:19:47 > 0:19:51that received a similarly hefty bill from their gas supplier -
0:19:51 > 0:19:53British Gas.
0:19:53 > 0:19:55Mark Pengelly is the reverend.
0:19:55 > 0:19:59Out of the blue one day, our church treasurer received
0:19:59 > 0:20:02a new set of bills from British Gas which went back
0:20:02 > 0:20:07over the complete four-year period since we'd opened.
0:20:07 > 0:20:13The additional amount being asked for, for the back payment over the four years,
0:20:13 > 0:20:15was a very alarming £38,000.
0:20:15 > 0:20:20Unable to pay the bill, the reverend began negotiations with British Gas,
0:20:20 > 0:20:25and even though it was all down to the meter underestimating the church's consumption,
0:20:25 > 0:20:31they insisted that he still had to pay for all of the backdated gas that the church had used.
0:20:31 > 0:20:38With little choice, Mark agreed to pay an initial £10,000, and then pay the balance off monthly.
0:20:38 > 0:20:43But as the church relies on volunteers and donations to keep going,
0:20:43 > 0:20:47the affects of this bill have been far-reaching.
0:20:47 > 0:20:50Paula Howard is the centre administrator.
0:20:50 > 0:20:55It's been quite a shock to the system. If that has to be passed on to our users,
0:20:55 > 0:20:58especially community users, it'll have a massive impact
0:20:58 > 0:21:02because we won't be able to subsidise their meetings as far as we do now.
0:21:02 > 0:21:06That threatens the survival of popular activities
0:21:06 > 0:21:09such as the Knit And Natter Group.
0:21:09 > 0:21:13It would be difficult to find somewhere else that would help us in this way.
0:21:13 > 0:21:16Cos the church have been very kind to us.
0:21:16 > 0:21:19No matter whose fault the error,
0:21:19 > 0:21:23energy companies can currently bill businesses for up to six years
0:21:23 > 0:21:30of back payments. Regulator Ofgem would like to see this reduced to one year,
0:21:30 > 0:21:32in line with domestic customers.
0:21:32 > 0:21:36But until that happens, there's nothing to stop businesses like the ones we've met
0:21:36 > 0:21:40from being landed with huge back bills.
0:21:40 > 0:21:44We contacted both EDF Energy and British Gas for their comments.
0:21:44 > 0:21:49Both apologised for the "inconvenience caused"
0:21:49 > 0:21:52and in each case, they've reduced the bill and agreed
0:21:52 > 0:21:54an extended repayment plan.
0:21:54 > 0:21:59EDF have also switched Rick to a better value tariff.
0:21:59 > 0:22:04British Gas point out it wasn't them that installed the church's faulty meter,
0:22:04 > 0:22:09although the company that did insists that their annual inspection
0:22:09 > 0:22:11had flagged up that there may be an issue.
0:22:11 > 0:22:14Meanwhile, Reverend Pengelly
0:22:14 > 0:22:19has had his faith in British Gas severely tested.
0:22:19 > 0:22:20In one sense,
0:22:20 > 0:22:24we don't dispute the fact that that meter may have been reading wrongly
0:22:24 > 0:22:28and technically, we have been underpaying.
0:22:28 > 0:22:31But we feel that if we've been treated very unjustly
0:22:31 > 0:22:36and to say, "Actually, you owe us three times the amount per month,
0:22:36 > 0:22:40"and you owe us £38,000 as a back payment,"
0:22:40 > 0:22:45it's really undermined all of our financial planning of the last five years.
0:22:47 > 0:22:52Undoubtedly, the largest number of complaints we get from our viewers is all to do with energy prices,
0:22:52 > 0:22:55the lack of clarity from the energy companies,
0:22:55 > 0:22:58the confusion about tariffs, how many tariffs there are
0:22:58 > 0:23:01and indeed how to read your own bill correctly.
0:23:01 > 0:23:03'So I've come to Energy UK,
0:23:03 > 0:23:07'who represent the UK's gas and electricity industry,
0:23:07 > 0:23:10'to see if they can make things just a little bit clearer.'
0:23:10 > 0:23:14Christine, most of our viewers seem to not be able to read their bills,
0:23:14 > 0:23:18and I must say, myself included. Can you read yours?
0:23:18 > 0:23:22I can read mine, but I work in the industry, so you'd expect that.
0:23:22 > 0:23:25But certainly there is a lot of information on bills.
0:23:25 > 0:23:30You have to have...your last meter reading, your latest meter reading,
0:23:30 > 0:23:33gas, electricity, which tariff you're on, your energy consumption.
0:23:33 > 0:23:37There's a lot of stuff on there and a lot of it is actually required
0:23:37 > 0:23:39to be there by the regulator, but the companies
0:23:39 > 0:23:42are working hard to make it as simple as possible.
0:23:42 > 0:23:46You say you're making moves and the big companies are working together.
0:23:46 > 0:23:50The reality is you all seem to be in cahoots with each other.
0:23:50 > 0:23:53Many think that Ofgem should just split the whole business up
0:23:53 > 0:23:56and really enforce more open competition.
0:23:56 > 0:23:59The appearance may be very different from reality.
0:23:59 > 0:24:03We know the market is competitive and we would urge people to make sure
0:24:03 > 0:24:06they're taking advantage of it by getting the best deal.
0:24:06 > 0:24:09If you've never switched, you can save hundreds of pounds.
0:24:09 > 0:24:13You make it sound simple. "You can just switch, get a better deal."
0:24:13 > 0:24:17The reality is that Ofgem, two years ago, told the big companies
0:24:17 > 0:24:21that you had 200 different tariffs on the market and to stop that.
0:24:21 > 0:24:24Now it's 400 different tariffs.
0:24:24 > 0:24:28What chance do I or a more vulnerable person,
0:24:28 > 0:24:31what chance do we have of sorting that out?
0:24:31 > 0:24:35Because I don't think you're moving fast enough towards what you're saying.
0:24:35 > 0:24:39Well, I think the companies take this extremely seriously
0:24:39 > 0:24:43and they do recognise there are areas in which consumers expect more.
0:24:43 > 0:24:47One example, one company has recently just slashed its number of tariffs
0:24:47 > 0:24:51by about a third and there will be more changes to bills, to annual statements.
0:24:51 > 0:24:55The regulator is changing the way tariffs are going to work,
0:24:55 > 0:24:58so there are lots of things happening.
0:24:58 > 0:25:02But the reality is that bills are soaring, profits are soaring.
0:25:02 > 0:25:05That is very confusing and if I may say, very annoying
0:25:05 > 0:25:09for the consumer because it's all, "We'll do this, we might do that."
0:25:09 > 0:25:12At the same time, your shareholders are pocketing.
0:25:12 > 0:25:16That's absolutely not the case and if you look at the detail
0:25:16 > 0:25:19on profits, pound-for-pound, companies are investing more every year
0:25:19 > 0:25:21than they're making in profit.
0:25:21 > 0:25:25But let's talk about help. There's a huge amount being done this winter
0:25:25 > 0:25:30- to help the most vulnerable people... - For example? - ..which everyone is concerned about.
0:25:30 > 0:25:35For example, 200 million being spent on a wide range of initiatives
0:25:35 > 0:25:40that includes, for example, an automatic £120 off your bill
0:25:40 > 0:25:43for the 600,000 poorest pensioners.
0:25:43 > 0:25:47Several million, I think it's around 4 million letters going out,
0:25:47 > 0:25:51to try to reach the priority customers and get them insulation.
0:25:51 > 0:25:54Insulation is not a big, sexy headline story
0:25:54 > 0:25:57but it'll save these people hundreds of pounds year after year.
0:25:57 > 0:26:02- Christina, I'll come back and see you again next year. Thank you. - I look forward to it.
0:26:04 > 0:26:09Here at Rip-Off Britain, we're always ready to investigate more of your stories.
0:26:09 > 0:26:13Confused over your bills? Trying to wade your way through
0:26:13 > 0:26:16endless small print that leaves you none the wiser?
0:26:16 > 0:26:19I might've been stupid for not reading it
0:26:19 > 0:26:21or I've read it and not taken it in.
0:26:21 > 0:26:24I could kick myself. I really could.
0:26:24 > 0:26:27Unsure what to do when you discover you've lost out
0:26:27 > 0:26:31and that so-called "great deal" has ended up costing you money?
0:26:31 > 0:26:37I thought, "This cannot be true. It's totally unacceptable." I was so angry.
0:26:37 > 0:26:40You might have a cautionary tale of your own and want to share
0:26:40 > 0:26:44the mistakes you made with us, so others don't do the same.
0:26:44 > 0:26:48No-one knows about this, so this is very strange to me.
0:26:48 > 0:26:50I really would like to get this much clearer.
0:26:50 > 0:26:53You can write to us at...
0:27:02 > 0:27:04Or send us an email to...
0:27:09 > 0:27:14The Rip-Off team is ready and waiting to investigate your stories.
0:27:16 > 0:27:19From the stories we've heard today, it's obvious our energy companies
0:27:19 > 0:27:22don't always make things easy for us,
0:27:22 > 0:27:25but when the cost of keeping warm is such a financial burden,
0:27:25 > 0:27:29we need our bills and tariffs to be as simple to understand as possible.
0:27:29 > 0:27:32We certainly do and never forget if you get bad service,
0:27:32 > 0:27:34don't put up with it.
0:27:34 > 0:27:39Switching suppliers really is not that complicated, though a lot of people still haven't done it.
0:27:39 > 0:27:42Just don't be afraid to take your business elsewhere.
0:27:42 > 0:27:45Which is exactly what I did last year due to this programme.
0:27:45 > 0:27:46That's just about it for now.
0:27:46 > 0:27:51I do hope you'll join us again when we'll be investigating even more of your stories
0:27:51 > 0:27:54and showing you how to avoid being ripped off.
0:27:54 > 0:27:59- Until next time, thank you for your company and see you soon. Bye-bye.- Goodbye.- Goodbye.