British Gas customers to receive up to £112m over prepayment meter scandal
Summary
British Gas will pay up to £112 million to customers who were forced to use prepayment energy meters without consent during the 2022 energy crisis. The payments include compensation, debt write-offs, and support packages following an investigation by the energy regulator Ofgem.Key Facts
- British Gas forced prepayment meters on some customers behind on energy bills during the Russian gas crisis.
- Ofgem fined British Gas £20 million and required up to £70 million in customer debt to be written off.
- British Gas will provide the rest of a £22.4 million voluntary support fund for affected customers.
- Ofgem banned forced prepayment meter installation temporarily after reports of unfair treatment in early 2023.
- Most major energy suppliers were found to have wrongly fitted prepayment meters during the 2022 energy cost crisis.
- Other energy companies agreed to pay more than £18.6 million to 40,000 households last year.
- Forced meter installations are now allowed again but remain banned in homes with young children or elderly residents over 75.
- British Gas’ owner, Centrica, apologized and said it has changed practices to prevent future problems.
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