Energy bosses given deadline on remedial action after investigation finds vulnerable customers wrongly given prepayment meters

Business and Energy Secretary Grant Shapps has given energy suppliers a deadline of Tuesday, February 6 to report back on what remedial action they will offer to customers, after an investigation by The Times found that vulnerable customers had wrongly had prepayment meters installed in their properties.

The news comes after British Gas admitted fault as a result of the investigation, which showed even those with small children or medical conditions were affected, with reports of debt collectors breaking into homes to install the equipment.

Mr Shapps said: “I am appalled that vulnerable customers struggling with their energy bills have had their homes invaded and prepayment meters installed when there is a clear duty on suppliers to provide them with support. They need to refocus their efforts on their consumers, the British public, who are at the receiving end of this abhorrent behaviour.

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The findings by The Times follow several reviews by Ofgem of the services provided by energy suppliers, which did not identified the behaviour.

Business and Energy Secretary Grant Shapps (pictured) has today given energy bosses a deadline of Tuesday to report back to him on what remedial action they plan to take if they have wrongfully installed prepayment meters in the homes of vulnerable customers.Business and Energy Secretary Grant Shapps (pictured) has today given energy bosses a deadline of Tuesday to report back to him on what remedial action they plan to take if they have wrongfully installed prepayment meters in the homes of vulnerable customers.
Business and Energy Secretary Grant Shapps (pictured) has today given energy bosses a deadline of Tuesday to report back to him on what remedial action they plan to take if they have wrongfully installed prepayment meters in the homes of vulnerable customers.

As a result, Mr Shapps has called on Ofgem to set up a new customer reporting system for households to pass on their own stories of how they are being treated.

He added: “I’m also concerned the regulator is too easily having the wool pulled over their eyes by taking at face value what energy companies are telling them. They need to also listen to customers to make sure this treatment of vulnerable consumers doesn’t happen again.”

The regulator has also been asked to toughen up their reviews, going beyond the company headquarters to find out what is really happening in people’s homes by hearing from them directly and engaging more with charities and other groups that represent consumers.

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On Thursday night, a number of suppliers announced they would suspend forced installations after being pushed by Ofgem to pause the practice while they reassure the regulator they’re complying with the rules.

Just over a week ago the Business Secretary launched a crackdown on the mistreatment of energy users by suppliers, already asking them to voluntarily commit to stopping this practice. He also demanded they share the number of warrants they’ve applied for in recent months and plans to publish the findings.