Estimated reading
An estimated reading is a figure your supplier calculates instead of reading your meter, usually based on your past use.
What it is
An estimated reading is used when the supplier has no recent actual reading. It guesses from your previous use. Your bill should say "estimated" or show an "E" next to the figure. A smart or advanced meter that sends readings automatically should cut estimates.
Where you will see it
On the bill, next to the meter readings. Compare it with the number on your meter. If they differ, send in a real reading. Our guide on how to submit a business meter reading explains how.
Why it matters
Estimates can be too low, which leads to a nasty catch-up bill, or too high, which means you overpay and are in credit. Either way you want an accurate bill. For microbusinesses, back billing is capped at 12 months, which limits catch-up from long periods of estimates.
Example
A shop is billed for an estimated 3,000 kWh in a quarter. The real meter shows 4,200 kWh. The next bill corrects the 1,200 kWh gap: at 28.4p/kWh that is 1,200 × £0.284 = £340.80 extra. If the estimate had been 5,000 kWh, the shop would be 800 kWh overcharged, a credit of 800 × £0.284 = £227.20.
Take a photo of the meter display with the date each time you read it. It is the best evidence if there is a dispute.
Related terms
See how to correct an estimated bill, estimated business energy bills and how often to submit readings.
Common questions on this topic
Sources
General information only. Energy prices, rules and supplier terms change; check the latest position with your supplier, Ofgem or the Energy Ombudsman before you act.