A PUB landlady says she could be forced out of business after Npower TRIPLED her electricity bill.
Margaret Fitton signed a fixed-price contract shortly after taking over at the Boltmaker's Rest in Rock Street, Oldham, five years ago.
But when the £150 per month contract expired she was told that she would have to pay almost £450 a month for the next 12 months.
She said: "It's crippling me. It's only a tiny pub. I can't afford to pay that kind of money."
Margaret says she was told by Npower that she should have given them three months notice to get out of the contract.
She said: "Nobody told me this. I have contacted other energy companies and got quotes that are far cheaper than Npower are charging.
"I have made numerous attempts to get them to talk to me about the situation, but I can't get anywhere with them."
After being contacted by the M.E.N., Npower have now talked to Mrs Fitton about her options.
She said: "They have told me if I find the cheapest alternative quote I can, they will match it, and backdate the new figure to April - but I will have to pay £1,200 to unlock my contract. I would be no better off if I have to pay Npower's fee.
"I have been trying since February to sort this out, and if they had helped me straight away, I wouldn't be in this mess. It has caused me so much anxiety."
An Npower spokesman said they understood that many small businesses are facing pressure, but added: "The cost of wholesale energy has soared in the last 12 months, with the cost of gas and coal increasing by 122 per cent, and the cost of oil by 79 per cent.
"Unfortunately this means that we cannot continue to supply energy at the prices quoted five years ago.
"Npower's terms and conditions state that 90 days' written notice is required from customers who wish to terminate their contract with us. Because Mrs Fitton did not serve notice, Npower bought energy on her behalf to ensure her supply at the new rates quoted."
Npower said it has worked with other businesses to help them save money by using less energy.
Tweet
Pub may close after energy hikes
September 05, 2008
Landlady of the Boltmakers Rest in Oldham Margaret Fitton

Showing comments 1 to 11 and replies | View All
Jo14 (05/09/2008 at 09:07)
This is a situation we're all facing - so why does this lady deserve a "news" article about it all?
PW, Manchester (05/09/2008 at 09:46)
I notice my gas has gone up 30%, while electricity is only 9%. They obviously don't want me to freeze to death in the dark.
Guten Tag (05/09/2008 at 10:14)
Chris Green, Chorlton-cum-Hardy (05/09/2008 at 10:16)
I'll be checking my gas and electric contracts when I get home tonight.
Black Flag (05/09/2008 at 10:23)
I think that's evidence of the "don't put all your eggs in one basket" theory having some merit.
If the price of gas on the wholesale market goes up, then it's going to have a big impact on gas bills, because you can't replace gas with anything else.
Electricity, on the other hand, is produced from a variety of sources (gas, coal, nuclear, wind, hydro,...), so if one of them has an increase in the cost of generation, the other sources can damp down the price increase.
JTC Formerley JimC (05/09/2008 at 11:05)
Advice to any other business owners, contact your energy supplier find out your contract end dates and send in your contract termination, by recorded delivery, if you have a fax machie or access to one fax it and print of a sent journal.
Also one further point to make, when you enter into a contract, you agree that you understand the terms and conditions. Make sure you do. All suppliers have different contract termination times.
MPs gravy train, UK (05/09/2008 at 11:09)
I can see in the photograph that she is using halogen spotlights. Change them to LED ones and your electricity cost will fall 10 times for these lights. Stop moaning and do something about it like we all have to do.
alvinlwh (05/09/2008 at 13:30)
Laura Norder, Didsbury (06/09/2008 at 00:09)
Use 'em, or lose 'em, folks.
(It's sad, but that's business.)
Doobydoo, Worsley (06/09/2008 at 16:21)
mumto1, manchester (06/09/2008 at 18:49)