How long can an energy company chase debt?
Debt-chasing questions often mix two separate issues: whether a balance is genuinely owed, and whether back-billing protections affect older usage that should have been billed earlier. Separate those questions before you respond.
The first question is not the age of the letter
It is the age of the usage being recovered and the reason it was not billed accurately earlier. If the supplier is chasing a balance that includes older usage, you need to know whether that usage should have been billed sooner and whether back-billing protections matter.
Related guides
What to ask before agreeing anything
- Which exact period does this debt cover?
- How much is current usage and how much is historical correction?
- Were any earlier bills estimated, delayed or missing?
- How have you treated usage older than 12 months if it is relevant?
Official and reference sources
Frequently asked questions
Is debt recovery the same as back-billing?
No. Debt recovery is about money the supplier says is owed. Back-billing protections are about certain delayed charges for older usage.
Should I ask for a payment plan immediately?
Ask what the balance covers first. You can still discuss affordability once you know what is genuinely being recovered.
What if the supplier cannot explain the timeline?
Keep the request in writing and move into the complaint route if the explanation stays vague.
Two different time limits, and people confuse them
There are two separate protections here. The one people have heard of is the wrong one to reach for first.
| Back-billing rule | Limitation / prescription | |
|---|---|---|
| Time limit | 12 months | 6 years (England, Wales, Northern Ireland) 5 years (Scotland) |
| Where it comes from | Ofgem supply licence, condition 21BA | Limitation Act 1980 / Prescription and Limitation (Scotland) Act 1973 |
| What it does | Stops the supplier charging for energy used more than 12 months before the bill, where the supplier was at fault for not billing accurately | Stops the creditor enforcing the debt through the courts. In Scotland the debt is extinguished entirely |
| Clock runs from | The date on the bill | The last written acknowledgement or the last payment you made |
| Practical value | High. Twelve months is a short window and most disputed back bills fall inside it | Low for most energy cases. Six years is a long time and any payment or written acknowledgement resets it |
Start with the back-billing rule. It is shorter, it is energy-specific, it is enforced by Ofgem, and it does not require anything to have gone quiet for six years. Reach for limitation only if the debt genuinely is very old and nothing has been paid or acknowledged in writing throughout.
What resets the limitation clock
- Any payment, including a small one. A £5 payment on a five-year-old debt restarts the six years.
- Any written acknowledgement that the debt is yours. An email saying “I know I owe this but I cannot pay right now” restarts it.
- A court judgment already obtained. Limitation no longer helps at that point.
Disputing a debt is not acknowledging it. Writing to say the amount is wrong and you require a breakdown is not an admission. But be careful with the wording — do not write anything that concedes the balance is owed while you are relying on limitation.
This is general information about how the time limits work, not legal advice. If a debt is genuinely close to the limitation period, or you have received a court claim form, get free advice from Citizens Advice, National Debtline or StepChange before replying to anything.
What to actually do when a debt letter arrives
Do not pay yet
Not even a token amount. A payment can restart the limitation clock and can be treated as accepting the balance.
Ask for the breakdown
In writing, to the supplier — not only to the collection agency. Ask for the period, the readings and the bills issued.
Then decide
Back billing, wrong readings, affordability, or a debt that is genuinely yours and payable.
Send to the supplier, copy the collection agency
Question 4 is the one that matters if the debt is old, because it establishes when the limitation clock last reset. Question 5 is the one that matters if it is recent.
If you are struggling to pay a debt that is genuinely yours
That is a different problem from a disputed one, and it has its own routes: an affordable repayment plan, the Priority Services Register if you are vulnerable, Warm Home Discount eligibility, and supplier hardship schemes. Free, independent debt advice is available from Citizens Advice, National Debtline and StepChange. None of them charge, and getting advice early keeps more options open than waiting does.
The escalation ladder, with the dates that matter
Written query
Not a complaint yet. One issue, specific questions, evidence attached. Many are resolved here.
Formal complaint
Use the word, ask for the reference, note the date. This starts the eight-week clock.
Energy Ombudsman
At eight weeks, or immediately on a deadlock letter. Free, and binding on the supplier.
| Day | Do this |
|---|---|
| 0 | Send the written query with evidence. Diary the date. |
| 14 | No substantive reply? Convert to a formal complaint and ask for the reference. |
| 28 | Still nothing? Ask whether this is their final response or request a deadlock letter. |
| 56 | Eight weeks. Refer to the Energy Ombudsman. Free, and this is the point of it. |
| +12 months | Deadline to refer after a deadlock letter. Do not let this pass while still arguing. |
Keep paying the undisputed amount throughout, and say in writing what that amount is. It costs you nothing, and it removes the supplier's easiest counter-argument. See the Ombudsman process.
Frequently asked questions
How long can an energy company chase a debt?
Two limits apply. Ofgem's back-billing rule stops a supplier charging for energy used more than 12 months before the bill where the supplier failed to bill accurately — that is the useful one. Separately, under the Limitation Act 1980 a debt generally becomes unenforceable through the courts after six years in England and Wales, or five years in Scotland, but only if nothing has been paid or acknowledged in writing in that time.
Does making a small payment restart the clock?
Yes. Any payment, however small, and any written acknowledgement that the debt is yours restarts the limitation period. That is why you should ask for a breakdown before paying anything on an old disputed balance.
Is disputing a debt the same as acknowledging it?
No. Writing to say the amount is wrong and asking for a breakdown is not an admission. Be careful with the wording though — avoid anything that concedes the balance is owed if you are relying on the limitation period.
What if the debt is genuinely mine and I cannot pay it?
That is a different problem from a disputed bill and it has its own routes: an affordable repayment plan, the Priority Services Register, Warm Home Discount eligibility and supplier hardship schemes. Free independent advice is available from Citizens Advice, National Debtline and StepChange, and getting it early keeps more options open.
Should I deal with the supplier or the collection agency?
Raise the dispute with the supplier, because it holds the billing and reading data, and copy the agency so the account is marked as disputed. Ask for collection activity to be paused while the breakdown is provided.