
Millions of pounds have been lost through incorrect billing, hidden charges and a lack of oversight in energy contracts
Across the adult social care sector, millions of pounds have been lost through incorrect billing, hidden charges and a lack of oversight in energy contracts. In some cases, providers have been charged VAT and Climate Change Levy incorrectly, resulting in significant overpayments that have gone unnoticed for years.
At a time when global instability, including ongoing tensions in the Middle East, is pushing energy prices upward, care providers cannot afford to lose money through avoidable errors and poor oversight.
Recent work across the sector has identified and recovered more than £14 million in overcharges. This represents funding that should have been available to support care delivery and workforce investment.
The challenge is that many providers do not have the time or expertise to identify these issues themselves. Energy billing is complex, and without specialist review, errors persist.
This reinforces the need for independent audit and ongoing monitoring. Every pound recovered is a pound that can be reinvested into care, particularly as external pressures continue to drive costs higher.
Providers should not assume their current energy costs are accurate. The scale of recovery across the sector shows how widespread this issue is.
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