April 15, 2011
The Government energy watchdog Consumer Focus has warned small business about the possibility of receiving unexpected energy bills from their suppliers detailing arrears owed as a result of years of undercharging. It is possible for energy companies to backdate energy bills for up to six years for commercial customers and up to one year only for domestic customers, even if the mistake is that of the supplier. Consumer Focus has asked energy companies to extend the domestic scheme to small businesses and to exercise discretion in negotiating the terms of re-payment. If a business receives a bill that it cannot pay in full or immediately, it should contact the supplier straight away to try to negotiate a settlement. Otherwise, electricity, gas and water supplies can be disconnected from commercial premises. Business owners should also be aware that amounts owed for water or telephone bills can be set off against personal accounts with the same suppliers. A business law solicitor will be able to provide further advice on commercial debts and financial issues.