Utility rebilling, answered.
Plain-English answers to the questions RTM directors, RMC boards, managing agents and leaseholders ask us most often.
General
What is utility rebilling?
Utility rebilling is the process of dividing a single communal utility supply — electricity, gas, heat or water — across individual flats in a residential block and invoicing each leaseholder for their share, based on actual consumption wherever possible.
Who needs utility rebilling?
Any residential block of flats where one supplier account feeds the whole building. That includes most new-build developments, converted blocks with communal services, and any building with communal heating, communal water or communal electricity behind the main intake.
Is rebilling required by law?
Rebilling itself is contractual — driven by what the lease says. Where it is done, it must comply with Ofgem maximum resale rules for electricity and gas, Ofwat resale guidance for water, and the Heat Network (Metering and Billing) Regulations for heat.
How much does utility rebilling cost?
Our fee is £10 per unit per month, fully disclosed, with every service included — rebilling, reconciliation, collection, arrears recovery and resident support. There are no hidden commissions and no undisclosed admin charges.
How long does it take to onboard a block?
Most blocks are live within four to eight weeks. The process covers supplier notifications, opening reads, historic data migration, resident communications and onboarding into our billing platform.
RTM, RMC and Managing Agents
How does rebilling work for an RTM company?
The RTM holds the supplier contract. We act as the rebilling agent — reading meters, applying the supplier-verified tariff, issuing leaseholder invoices, reconciling monthly and pursuing arrears. Directors get a single monthly report they can present at AGM.
Can you work alongside our existing managing agent?
Yes. We do not compete for block management instructions. We run the billing engine while the agent retains overall management of the block.
What happens to existing utility arrears when we switch?
We provide a structured handover. Arrears can either stay with the outgoing provider or transfer to us. Most clients transfer so residents have one point of contact.
Will residents notice the change?
Yes — clearer invoices, faster query response, a named support line and structured arrears handling. We write to every resident before the first bill issues.
Do you white-label communications for managing agents?
Yes. Resident communications can be issued under the managing agent's brand where required.
Electricity
What is the Ofgem maximum resale price?
It is the maximum that can be charged when reselling electricity (or gas) to a leaseholder. It must not exceed the supplier's per-unit cost plus a proportionate share of standing charges. We enforce this automatically.
What VAT rate applies to communal electricity rebilling?
Domestic electricity supply to residential flats is generally charged at the reduced 5% VAT rate. Landlord-supply consumption recovered through the service charge may follow different rules. We apply the correct rate per line.
How are landlord-supply costs (lifts, lighting) handled?
Landlord-supply consumption is separated from resident-supply consumption and recovered through the service charge or apportioned across flats transparently, depending on what the lease requires.
Gas
How is plant gas billed in a block with communal heating?
Plant gas is recovered through the heat network billing process. Residents pay for kWh of useful heat delivered to their flat. The underlying gas cost is reconciled monthly against billed heat output.
Can a block of flats have individual gas meters per flat?
Where the building is designed with individual gas runs, yes. Each flat can either have its own supplier account or be billed through communal rebilling.
Water
Is there a maximum resale price for water?
Yes. Ofwat publishes a maximum resale price for water that limits what can be charged to a resale customer. We apply it as a baseline.
What happens if the block has no individual water sub-meters?
We apportion the wholesaler invoice using a documented methodology — typically occupancy, bedroom count or rateable value — agreed with the freeholder or RTM.
Heat Networks
Is heat network billing regulated?
Yes. It is regulated under the Heat Network (Metering and Billing) Regulations, with broader market regulation being phased in under Ofgem oversight.
Why is my heat bill higher than my neighbour's?
Heat consumption depends on usage, occupancy, hot water draw, thermostat behaviour and flat position in the building. Two identical flats can have very different heat consumption.
What happens if a heat meter fails?
We bill on the documented fallback methodology — usually historic average consumption — until the meter is repaired, then reconcile when the meter is back online.
Do you comply with Heat Trust principles?
Yes. Our processes are aligned with the Heat Trust framework, even where formal membership has not been adopted by the network operator.
Arrears and Collections
How do you handle resident arrears?
Through a structured pre-legal recovery process — soft reminders, formal demand, payment plans for residents in genuine difficulty, and escalation only where the client instructs us to.
Do you charge extra for debt recovery?
No. Debt recovery is included in our £10 per unit per month fee. Legal escalation is handled on instruction and charged at cost.
Can residents pay by Direct Debit?
Yes. Direct Debit, card and bank transfer are all supported. Direct Debit penetration typically rises sharply in the first three months after switching to us.
Still have a question?
Talk to a rebilling specialist by phone, WhatsApp, SMS or email. Written itemised quote within 48 hours, no obligation.