BRITISH Gas has apologised and agreed to write off a Penryn pensioner's debt after the Packet stepped in over an account statement he'd been sent showing he owed the utility company £1,274.41.

Bill Rundle, 79, had the shock of his life when he received an account statement from British Gas saying he owed them £1,274.41 for a one month period between May and June when all he used it for was hot water.

The utility company recently hiked all its prices but even this did not explain the massive increase for Mr Rundle who lives in a cottage off The Terrace. The debt is usually around the £50 mark.

Mr Rundle's problems started when he had a new meter installed by the national utility company in June into which Mr Rundle regularly put in £10 on his card but immediately the meter took £5 of that to pay off a previous debt.

When Mr Rundle contacted British Gas he says they told him the debt went back to 2003.

"It's doing my head in, me angel," said Mr Rundle. "At my time of life I don't want it. I'm putting £10 in with the card and only £5 is registering. All I use the gas for is three little radiators and hot water. In May I wasn't even using the radiators.

"I had a meter previous to that with no problems. Since they installed the new meter I have had nothing but problems."

Because Mr Rundle is on a prepaid meter the bill is actually an account summary and not a demand for payment but the high debit balance and the amount taken off his card payment just to pay an existing debt is worrying him.

"It's a big mistake," said Mr Rundle. "They keep saying they are going to send an engineer out to check it but no engineer has come. I keep putting £10 in and it takes £5 to service the debt. It used to register the whole £10.

"They are saying it is money owed from 2003. I am wondering if I am paying off a debt owed by the previous lady who lived here. I've been on the phone to them but I can't get any information."

Mr Rundle and his wife moved into the house in March 2003 but unfortunately soon after that his wife died. His house is one of five in a courtyard off The Terrace where all the neighbours look after each other.

British Gas said the rogue bill came about because of a clerical error by the individual dealing with Mr Rundle's account. They will now be writing to him to apologise.

Mr Rundle has also been gradually paying off a previous outstanding balance at the rate of £5 a week. The outstanding balance on his account now stands at £36.90. As a gesture of goodwill for the problems experienced British Gas says it will be writing off this outstanding balance. A new revised statement of account has now been sent to Mr Rundle.

Spokesman Donna Davies said: "I am very sorry for any concern caused to Mr Rundle. Unfortunately it appears that a clerical error by the individual dealing with Mr Rundle's account meant that they incorrectly used the wrong meter readings to produce his statement of account. We have now corrected his account and arranged for a revised statement of account to be issued. As a gesture of goodwill we will be removing the existing outstanding balance on his account."