Serious Fraud Office continues probe into three companies delivering ECO4 contracts
The Serious Fraud Office (SFO) is investigating allegations of fraud by three companies in relation to Energy Company Obligation 4 (ECO4), a Government energy efficiency scheme designed to tackle fuel poverty and help reduce carbon emissions.
Working with the National Crime Agency, the SFO has conducted a major operation across the UK with investigators arresting four people on suspicion of conspiracy to defraud. Four homes were searched in Cannock, Wolverhampton, Chilworth, and Southwell and two commercial sites were also searched at Cannock and Killamarsh.
A spokesperson from the Serious Fraud Office told The Yorkshire Post: "We continue to progress our fraud investigation into three UK companies in relation to Energy Company Obligation 4. We remain keen to hear from anyone with information about Cannock-based Warmfront Team Ltd, Sheffield-based JJ Crump, and Fareham-based South Coast Insulation Services, as we progress our investigation.”
Graham McNulty QPM, Director of the Serious Fraud Office, said: "This scheme was designed to reduce carbon emissions, help households cut costs and stay warm – instead in many cases we suspect little or no work was done.
"We are particularly keen to hear from installers and assessors who worked on these contracts and know what really happened. Our door is open, and coming forward is the right thing to do.”
Solicitor General Ellie Reeves KC MP said: "This scheme was meant to tackle fuel poverty and improve people’s homes. Instead, the Serious Fraud Office is investigating claims £44m in public money was paid to companies that allegedly did little more than submit false invoices for work they failed to carry out.”
The SFO statement stressed that all information will be treated in confidence. The SFO can be contacted via email at: [email protected].
In a statement on its website, J & J Crump & Son said it “completely refutes the allegations” made in the SFO press release. The statement confirmed that the SFO had carried out a search at JJ Crump’s head office.
The statement added: “No one from JJCrump has been arrested and we are fully co-operating with the SFO investigation.
“JJCrump has been established for 40 years and has worked in the energy efficiency arena delivering energy efficiency measures to homes across the UK for more than two decades.
"All the work we installed has been carried out in good faith and in accordance with PAS requirements. While the investigation is ongoing we cannot say anything further at this time.”
The SFO understands that Warmfront was sold in 2024 and now trades under new management not connected to this investigation. South Coast Insulation Services is in administration, according to Companies House.
A spokesman for the administrators said they were not able to comment on this matter.
This operation is part of Operation Henhouse, a UK-wide campaign tackling fraud.