I have just acquired a holiday chalet and intend to rent it out. I thin
it might be sensible to fit an electricity payment meter to the immerse and electric heating system. Is it difficult to do ? or would the wis thing to do be to hire a competent electrician?
-- Unclebill
Doing it such that it's not trivial to bypass and such that the money isn't easily stolen is probably the hard part.
I don't know how electricity company prepayment card meters work in detail (such as how/where you get the cards and what increments you top-up), but getting the premises metering changed to that might be the easiest way if you really want to go this route, and if it's a viable payment mechanism for short term occupants.
However, much easier might be to just take a meter reading before and after, and take the electricity usage out of the deposit, providing that's agreed beforehand.
Note that you are not currently permitted to charge any more for the electricity than you pay for it yourself. Legislation sets the max amount electricity can be resold for, and last time I checked, the max limit was set to the same price it was bought for.
I suppose it depends on what quality end of the market you are aiming for, but I think the Scottish Tourist Board requires heating at no extra charge even in their lowest graded properties.
As Mr Gabriel says, doing it so the money can't be nicked is a problem. Electricity co. powercards have the problems that customers will complain if they put a £5 card in the day before they leave, or if the power runs out unexpectedly, or if the meter is showing emergency debt from the last customers (which will have to be paid off), or if they turn up after the post office is closed and can't buy a card, or if there's no hot water when they arrive - all these are problems which will land on you and increase the hassle of running the chalet.
Prepay metering the heating also makes it more difficult to leave the heating on at a low level over winter, or so that the chalet isn't too cold when customers first arrive.
I think you'd be better looking at the energy management products from Elkay, which offer a sealed thermostat with either a press-to-operate for a preset time period, or an occupancy detector, for the heating. This allows a frost protection setting, a preset occupied room temp, and prevents the heating from running for long periods of time in an unoccupied property. (You can also get them operated by keytags as used in hotels.)
A press-to-operate 1 hr timer on the immersion would work similarly.
Also look at upgrading the insulation. Even just draught-proofing can increase comfort levels meaning the heating is used less.
Owain
Does that apply only to long term letting (shorthold assured type) rather than short term holiday lets?
I can envisage there is a limit but who pays the standing charge?(*) What about VAT on the "service" (ie electricity) that you have provided? Would that be at 5% (as "domestic fuel") or at 17.5% (as "commercial fuel" or as a "service").
Personally I'd be wary of a holiday place with a prepay meter. There is nothing quite so annoying as the lights going out and having to scrabble for a topped up card and/or 50p's in the dark. Or the heating going off in the middle of the night and having to get up in the cold. I guess those that have prepay at home are used to making sure they have the cash or card(s?) topped up but how many people have prepay...
I'd much prefer a "fuel inclusive" rent or a meter reading before/after and a rate in the contract with the cost deducted from the refundable deposit.
(*)There is only one providers tarrif, that I know of, that doesn't have a standing charge in one form or another.
I've stayed in chalets where there was a 50p coin meter and a bag of 50p coins left by the owner. This was amply sufficient for our needs, hot water
I think it applies to everything (unless it is being resold to a business).
Split pro-rata.
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