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After looking into your account and previous correspondence with the Support team I can see that you have been charged for active services within your account.
As previously explained by my colleague, although you allowed your domain name to expire you have not made any cancellation to your service. This is why you have been charged.
I have no problem with assisting you in the cancellation of these services, for assistance please either call the Support line on 0871 210 9977 or submit a support ticket here.
I can only guess your domain/hosting transfer didn't work correctly. Or you just changed the registered name and not the management/payment perhaps?
I'm not sure what you mean by losing "two years worth of web hosting"?
FWIW I have well over a 100 domains (.com/co.uk/info/co/eu/net) registered with Freeola (the majority for many years) and am pleased to say I've never had a billing error! and I'm pretty picky!
[s]Hmmm...[/s]