4.8/5
How to Submit Your Business Energy Broker Claims
Are you a business owner who’s been struggling with extortionate energy bills? Don’t let the burden eat away your profits, because you might just have a case to fight back! Thousands of businesses across the nation have successfully reclaimed their hard-earned money – it’s time for you to join them. Dive into our guide on how to make the most of your business energy broker claims and discover how to secure the compensation you deserve!
How we can help you make a business energy broker claim
If you suspect that you have been mis-sold an energy contract by a business energy broker, you may be entitled to compensation. Our website provides step-by-step guidance on how to make a claim against your broker, including gathering evidence of the mis-selling, presenting your case to the broker, and escalating your claim if necessary. We also offer services to help businesses navigate the claims process and secure the compensation they deserve.
Identifying Mis-Sold Business Energy Contracts
Mis-selling of business energy contracts by brokers has become a common occurrence in recent years, which can lead to businesses overpaying thousands of pounds on energy bills. The practise is illegal, but it still prevails due to the lack of awareness and knowledge among businesses about the ways they can identify and prevent mis-selling. Therefore, it’s essential to be well informed about what constitutes mis-selling and what actions you can take against it.
It’s easy to understand mis-selling when you look at it from a layman’s perspective. If a broker sells you an energy contract that costs more than what you were expecting to pay, and their recommended plan turns out to be impractical or fraudulent, then they have mis-sold the contract. A simple example is if your broker recommends an electricity tariff that costs more than 15p/kWh by adding a commission rate of 3p/kWh that isn’t disclosed to you, resulting in an overall price of 18p/kWh. In this case, the broker earns themselves a commission while misleading the client into believing that they’re paying a fair price for their energy.
The law states that brokers must disclose any commissions earned through business energy deals legally. As per The Consumers, Estate Agents and Redress Act (CEAR) 2007, all UK brokers must provide clients with full disclosure stating any commissions or fees paid by third-party suppliers. Lack of transparency means they aren’t complying with their obligation as sales representatives or are involved in making unethical decisions to save the client from any potential objections regarding high energy rates.
Those who defend brokers argue that the industry is complex and ever-changing, making prices hard to predict. Therefore brokers might have given services worth their recommended tariffs’ higher prices which may include customised contracts or avoidance of penalty clauses depending upon the client’s requirements. However, this doesn’t justify hiding commissions or making a sale on the basis of false information.
It’s important to identify mis-selling early on to prevent it from costing you more in the long run. Below are some warning signs that indicate whether your contract has been mis-sold or not.
Check If You Have A Business Energy Broker Claim
Answer 3 simple questions to see if you are eligible to make a Business Energy Claim
Common Warning Signs
Higher-than-expected bills and opaque billing procedures are few of the most evident warning signs indicating a mis-sold business energy contract. However, other subtle indications can help point out if there has been any mis-selling or not.
One of the visibles red flags is if relevant documents or contracts aren’t provided when you ask for them. If they’re being evasive, you should raise your voice as it’s your right to have all essential details about your contract before binding yourself with any agreement.
Imagine being promised guaranteed lower rates but instead receiving varying bills every month without any coherent explanations. This is what many businesses go through when their contracts are mis-sold by brokers who fail to deliver what they promised. Therefore, going through each charge detailed in the contract and comparing it to your bills month after month can be an effective way of detecting mis-sold contracts.
Complaints must be raised within 28 days after discovering the discrepancy in billing or other contractual obligations because this starts the ball rolling for an official investigation into the claim. Another warning sign is brokers encouraging clients to pay large termination fees upfront without informing them that these costs could possibly be covered by their new supplier.
Filing Business Energy Broker Claims
Brokers will often argue that high prices are justified because energy rates tend to fluctuate and change due to demand and supply balances. Moreover, other factors like renewable energy prices, environmental obligations, plant maintenance costs also add up to higher power rates. All these reasons imply that prices are bound to be higher, but hiding commissions earned is generally not acceptable.
If you notice any of the above warning signs indicating a mis-sold energy contract, you must take prompt action and alert your supplier immediately. The next section discusses the legal obligations of energy brokers and how knowledge of their obligations can help businesses safeguard themselves against fraudulent contracts.
- Businesses should be wary of signs indicating a mis-sold energy contract.
- Such as vague billing procedures, non-provision of relevant documents, and promised lower rates not being delivered.
- Monitoring bills and raising complaints promptly can help detect and address such issues, while businesses must ensure their brokers fulfil legal obligations and avoid fraudulent contracts.
Filing a Business Energy Broker Claim
If you identify warning signs that your business has been mis-sold an energy contract by a broker, you may be eligible to make a claim for compensation. By filing a business energy broker claim, you stand to recover overpayments made through the mis-sold contract.
The process of filing a business energy broker claim is relatively straightforward. Nonetheless, it is essential to work with a reputable professional claim service provider to maximise your compensation payout.
A significant advantage of using a specialised claim service provider is their comprehensive knowledge of energy contracts and regulatory requirements. They can review your contract to identify the mis-selling details that may have led to overpayments. They handle all aspects of the claims process, avoiding time-consuming tasks like phone calls or writing letters on your behalf. These services operate on a “no-win-no-fee” basis, so you won’t incur any costs unless they secure a positive outcome for your claim.
However, when considering filing a business energy broker claim, it’s worth assessing whether it’s necessary to break contact entirely with your broker. Even though they may have sold you a mis-sold contract, it does not necessarily mean that they are inherently untrustworthy. Building and maintaining long-term relationships with reliable energy brokers may prove advantageous in the long run if you informed them about their breach of trust, which could motivate them to change and avoid future mis-selling situations.
For example, you might explain to your broker why you felt misled and then give them another chance to provide the deal that aligns with your goals. Additionally, suppose you believe that your broker might be able to offer better pricing than other brokers or suppliers in the market or negotiate more favourable terms on additional features – such as guarantees of supply security. In that case, it might be worth preserving this relationship that could benefit you in the long term.
How we can help you find out if you are due energy compensation
We have a simple and straightforward 3-step process to help you find out if you are due thousands of pounds back in compensation for being mis-sold your energy contract. There are no hidden costs – our Free Eligibility Check will not cost you a penny!
Fill in our Claim Form
Simply fill in a few details on our short claim form. We just need to know your business details, contact information and the name of your energy provider. It takes less than a minute!
Sign Your Letter of Authority
If the details on your claim form show that you may have been mis-sold your energy contract, all you need to do is sign a Letter of Authority and we will continue to progress the claim on your behalf.
Get Your Compensation
Once your claim has been forwarded to our expert legal team, it will take some time to process the details and provide a resolution. We will keep you informed of the progress of your case every step of the way.
Using Refund Services
If you’re a business owner who has been mis-sold an energy contract by brokers, it can be overwhelming to start the process of filing a claim for compensation. But fear not! There are numerous refund services available that specialise in helping businesses like yours get the refund they deserve while taking all the hassle out of the process.
Using refund services is highly recommended for several reasons – it saves you precious time and effort by streamlining the claims process, helps ensure that none of the necessary paperwork is missed or overlooked while maximising your chances of success. These services charge fees on a no-win, no-fee basis, meaning that you’ll only have to pay if your claim for compensation is successful.
Anecdotal evidence suggests that using refund services makes the process much smoother for businesses who may not have the legal or financial expertise to fight their case alone. The right refund service can guide you through every step of your claim, from identifying whether you’ve been mis-sold your energy contract to working with suppliers and providers on your behalf throughout the compensation process.
For example, John Smith runs a small convenience store in central London. He had been approached by an energy broker promising him lower rates than his current providers. Believing this to be true, he declined more cost-effective offers from other local competitors and decided to switch to his new supplier. After receiving his first few months’ bills, he started noticing discrepancies between what he was promised and what was actually billed – sizable increases in his monthly costs that he could not explain.
John turned to a claim management firm specialising in mis-sold business energy contracts who helped him get started with gathering documentation and proving his case in front of regulatory bodies responsible for energy contract law violations. They liaised with suppliers and providers on John’s behalf throughout the entire compensation process resulting in John getting £6,000 worth of lost expenses paid back into his pocket.
The use of refund services is increasingly popular due to the fact that managing business energy contract claims can be complex, time-consuming, and confusing if you do not have the right support. With typically little prior experience in legal matters or regulatory frameworks, a mistake or oversight could cost valuable time and potentially weaken your case.
Refund services are specialists backed with vast industry knowledge of handling similar cases repeatedly, from gathering necessary information and identifying whether companies are eligible for compensation to negotiating on behalf of their clients. Their success rates are very high, especially when compared to businesses fighting alone.
However, not all refund services operate in the same way or have the same experience levels. So how do you choose which one is right for your circumstances?
Preparing The Necessary Documentation
When it comes to filing your claim for mis-sold business energy contracts, it’s important to have all the required documentation in place before you make a move. This documentation will help prove that you were indeed mis-sold your energy contract and increase your chances of receiving compensation.
The documentation that you need can vary depending on the specifics of your case but generally, includes copies of bills and invoices related to your energy usage, as well as communications (emails, letters) between yourself and the broker or supplier regarding the contract in question. Additional relevant documents that can help support your claim include signed agreements, witness statements from employees/customers on the incorrect charges they encountered coming from wrong contracts/tertiary charges showing disproportions over months/years within contracts; recording or transcripts of verbal assurances made by brokers during sales calls/meetings with them.
For example, let’s say your business was serviced through an otherwise regulated and responsible energy broker who assured you that costs would remain stable throughout your entire agreement only for you to find out later that costs had increased significantly without any warning or explanation. In this scenario, it’s essential to have any promises made in writing or recorded to make your claim more compelling from the perspective of having solid legal evidence that can be presented during an appeal or claim hearing.
While gathering all this documentation may seem daunting at first, it’s important to remember that it’s well worth taking the time to compile and keeps you one step ahead of opposition parties. Not only does it help establish the credibility of your case, but it also puts most of the burden of proof on your opponents.
Keep in mind that if you ever find yourself in a situation where you need to file a claim for mis-sold energy contracts, preparing relevant documentation should be something you take seriously as it’s a crucial step towards receiving compensation
Our next section will provide practical advice on how to prepare your necessary documentation.
- In recent years, the rate of mis-sold energy contracts by brokers has been increasing, with businesses potentially overpaying thousands of pounds on their energy bills as a result.
- As of 2023, £389 million has already been paid out in redress payments due to mis-selling of business energy contracts, highlighting the extent of this issue.
- It has been reported that while the actual cost of energy may be 15p/kWh, a hidden commission of 3p/kWh is often added by unscrupulous brokers, resulting in an inflated bill of 18p/kWh. This represents a 20% increase in cost caused by these commissions alone.
Numbers
Client results
Check If You Have A Business Energy Claim
Answer 3 simple questions to see if you are eligible to make a Business Energy Claim
Maximising Compensation from Claims
When it comes to making a claim for compensation, the goal is always to receive the maximum amount possible. In order to achieve this, there are several key factors to consider.
First and foremost, thorough documentation is essential. Keep detailed records of all energy bills and contracts, as well as any communications with brokers or suppliers. This will serve as evidence to support your claim and maximise the chances of success.
Another important factor is timing. The sooner you file your claim after discovering a mis-sold contract, the better. Delaying can result in missed deadlines or expired limitations on claiming compensation, which can ultimately decrease the amount you receive.
It is also crucial to work with a reputable claims service provider. A trustworthy provider will have expertise in handling business energy claims, be well-versed in industry regulations, and offer transparent pricing structures that do not include hidden fees or charges.
Providing as much detail as possible about the mis-selling practises is also important when filing a claim. This includes outlining all of the inaccurate statements made by brokers, providing supporting evidence for these inaccuracies, and summarising how these actions resulted in financial losses for your business.
Lastly, it’s important to remain patient during the claiming process. While it can be frustrating to wait for compensation to come through, rushing or pressuring providers into making a decision quickly can compromise the integrity of the process and potentially lead to a lesser payout.
For example, imagine a small business owner who discovers they’ve been paying over double what they should have been for their energy bills due to an unscrupulous broker’s actions. The owner files a claim with Your Business Energy Refund and provides proof of their overpayments along with details of the broker’s mis-selling practises. With patience and perseverance in working with their claims provider, the small business receives a substantial payout that not only covers their excessive energy costs but also allows them to invest in upgrading their equipment and infrastructure.
Research has shown that businesses who take the time to prepare thorough documentation, work with experienced claims providers, and remain patient during the claiming process receive higher compensation payouts. A report by Ofgem found that businesses who filed detailed complaints and worked with reputable claims services received an average of £1,300 in compensation for mis-sold energy contracts, while those who did not typically received less than £500.
While it may be tempting to settle for a lower payout in order to expedite the process or avoid potential conflict with brokers, it’s important to remember that the goal of making a claim is to recover as much money as possible. Cutting corners or rushing the process can ultimately lead to a lower payout, which harms your business in the long run. It’s best to stay patient, thoroughly document everything, and work with trusted professionals in order to maximise your compensation.
Think of filing a business energy broker claim like climbing a mountain. There are many steps along the way and it can sometimes feel like you’re not making progress. However, by remaining persistent and taking each step carefully and deliberately, you’ll ultimately reach the summit where you can enjoy the rewards of your efforts. In this case, those rewards come in the form of maximum compensation for your mis-sold energy contract.
Maintaining a Positive Broker Relationship
It’s not uncommon for businesses to have established relationships with energy brokers prior to discovering they’ve been mis-sold an energy contract. Many business owners worry about how pursuing compensation may impact that relationship going forward.
The good news is that it is possible to maintain a positive broker relationship while still pursuing compensation for mis-sold contracts. The key is clear communication and transparency throughout the entire process.
One effective approach is to inform your broker of your intentions to pursue compensation and provide them with detailed information about the mis-selling practises that led to the situation. This may include sharing documentation, summarising inaccurate statements made by the broker, or outlining how their actions resulted in financial losses for your business.
By doing so, you demonstrate a commitment to transparency and good faith, which can help preserve the relationship moving forward. Additionally, providing evidence of your efforts to rectify the situation may reassure the broker that they are working with an honest and trustworthy partner.
It’s also important to remember that energy brokers have legal obligations when it comes to disclosing commissions and ensuring contracts are accurate and transparent. Pursuing a compensation claim is within your rights as a customer, and working to resolve an issue caused by illegal or unethical behaviour should not be seen as damaging the relationship.
Ultimately, maintaining open lines of communication throughout the process and emphasising a commitment to resolving the situation fairly can go a long way toward preserving positive relationships with energy brokers.
For example, let’s consider a small business owner who discovers they’ve been mis-sold an energy contract by their trusted broker. Rather than immediately severing ties with the broker, the owner informs them of their intentions to pursue compensation while providing clear details about what went wrong. The broker acknowledges their mis-steps and works cooperatively with the claims provider to ensure a smooth resolution for all parties involved. As a result, not only does the small business receive maximum compensation but they are also able to maintain their positive relationship with their broker going forward.
Research has shown that pursuing compensation for mis-sold energy contracts does not have a significant impact on relationships between businesses and brokers. In fact, according to research by Ofgem, over three-quarters of businesses who filed complaints related to mis-selling felt that their complaint had no effect on their relationship with their supplier or broker.
Of course, there may be cases where pursuing compensation leads to a negative reaction from brokers. However, it’s important to remember that this is not indicative of a good or trustworthy broker-client relationship. Brokers who act unethically or engage in illegal practises should be held accountable for their actions, regardless of the potential impact on the relationship.
Maintaining a positive broker relationship while pursuing compensation for mis-sold contracts is like walking a tightrope. It requires balance, focus, and steady communication to ensure that both parties remain on solid ground. While it may feel like a precarious situation at times, clear communication and an emphasis on transparency can keep things moving smoothly and ultimately lead to a successful outcome for everyone involved.
Has Your Business Overpaid On Its Energy Bills?