British Gas has triggered a wave of customer anger and financial anxiety after quietly stripping away a vital financial cushion for thousands of its customers. The nation's largest energy supplier has removed the option for customers to build up credit on their accounts, a move that has left many feeling exposed to soaring energy costs.
The change, implemented without fanfare, means customers can no longer build up a positive balance during cheaper summer months to help cover higher winter bills. For many, this 'savings jar' approach was a key budgeting tool to manage the volatility of energy prices.
Who is affected and what's changed?
The policy shift primarily impacts customers on fixed-tariff, fixed-term contracts. Previously, these customers could accrue a significant credit balance. Now, their direct debit payments are being recalculated monthly to closely match their actual usage, preventing any substantial build-up of funds.
While British Gas claims this new system "helps to ensure customers' direct debit payments are as accurate as possible," many account holders feel blindsided. The lack of clear communication has been a major point of contention, with numerous customers discovering the change only after logging into their accounts.
A lifeline removed for the vulnerable
Consumer advocates and charities have expressed deep concern, arguing that the change disproportionately affects vulnerable households and those on low incomes. The ability to spread costs evenly was a crucial financial planning mechanism for many.
One incensed customer, upon discovering a £700 credit balance had been wiped from their account, told The Guardian: "It’s my money... They are using our money as an interest-free loan." This sentiment echoes across online forums and social media, where customers are sharing similar stories of unexpectedly reduced credit balances.
What does British Gas say?
A spokesperson for British Gas defended the move, stating: "We continually review our processes to make sure we’re doing the right thing for our customers... This ensures that customers don’t pay for more energy than they’re using and helps to keep their monthly payments consistent."
They emphasised that customers in debt, those who have requested a build-up of credit, and those on non-fixed tariffs are exempt from this change. Customers with concerns are urged to contact British Gas directly to discuss their account.
What are your rights?
Energy regulator Ofgem states that a customer's credit balance belongs to them. Suppliers must treat customers fairly, which includes clear communication about any significant changes to their accounts.
If you are unhappy with the change or believe your direct debit has been set incorrectly, you have the right to challenge it. The first step is to formally complain to British Gas. If the issue is not resolved, you can then escalate your complaint to the free Energy Ombudsman service for an independent review.
