Dear Ivor Thank you for your complaint logged on Hellopeter on Tuesday, 24 February 2025. We fully understand your concern regarding the significant increase in your storage fees for 2026. By way of explanation/justification:
- Elliott moved to significantly smaller premises in July 2023.
- As a result of the reduced capacity, Elliott recently undertook a review of its storage rates, and it was found that Elliott has been significantly under charging you for storage. According to our records, you occupy 9 storage pallets, and you have loose items of 70 cubic foot (total volume of 1 870 cubic foot). Our minimum charge is R500 per pallet and R2.50 per cubic foot (VAT excl.). Accordingly, we should be charging you at least 9 x R500 + 70 x R2.50 = R4 675.00 VAT excl. per month.
- However, due to you being a loyal customer of Elliott’s for several years does count and is why we granted you a discount on our minimum rate and we are only charging you R3 635.00 VAT excl. per month with effect from 1 January 2026.
- Unfortunately, because of the significant past under charges, even after the annual increases, a situation has arisen whereby you are only paying 41% of our minimum rate. This effectively means that Elliott has been providing storage to you at commercially unviable rates and unfortunately this cannot continue.
- Whilst we acknowledge that you have been a loyal client of Elliott since January 2016 it is simply not financially viable for Elliott to provide storage services below market related rates.
- We sincerely do not wish to lose you as a customer, and we hope that the above explanation provides transparency regarding the substantial increase.
- Our minimum charges are based on market related industry storage rates and the cost of doing business.
We look forward to hearing from you and hope that we can retain you as a customer and continue to provide storage services to you.
Kind regards,
Brad BarkerExecutive Director