I want my money back too - from Thames Water!

If you havent already tried it, I suggest simply asking them to refund that excess immediately rather than offsetting it against next year's bills. Preferably by email rather than phone, so that there is a record of your asking and of their response, which can be useful if you need to take the matter further.

Regarding the meter though - as it has to be read manually, I presume that it isn't a smart meter? I would ask Thames Water if they can remedy that right away, so that future bills are not based on wild estimates.

It has always been my understanding that utility companies are not allowed to hold customers excess payments made via Direct Debit but I might be wrong. Either way, I don't know what the balance limit is but I am confident some other GNetters will correct me on this.

In your position I would certainly complain to the water company and also raise this matter with your local MP.

I will watch this thread with interest though.

Keeping my fingers crossed for a positive outcome Alie.