Energy suppliers warned to stop mistreatment of customers
Released On 2nd Feb 2023
Business and energy secretary Grant Shapps has warned energy suppliers to stop mistreating customers.
Shapps has written to energy suppliers asking them to stop forcibly moving consumers over to prepayment meters without taking every step to support consumers in difficulty.
Shapps has asked suppliers to discuss possible further action they can take to support customers before forcibly fitting pre-payment meters. He has also asked suppliers to share the number of warrants they have applied for, with the number rising.
Shapps, said: “Suppliers are clearly jumping the gun and moving at risk customers onto prepayment meters before offering them the support they are entitled to – I simply cannot believe that every possible alternative has been exhausted in all these cases.
“I am deeply concerned to see reports of customers being switched to prepayment meters against their will, with some disconnected from supply - and quite literally left in the dark.
“Rather than immediately reaching for a new way to extract money out of customers, I want suppliers to stop this practice and lend a more sympathetic ear, offering the kind of forbearance and support that a vulnerable customer struggling to pay should be able to expect.”
Prepayment meters are intended to allow customers to pay for gas and electricity on a pay-as-you-go basis to help prevent debt and court action. Ofgem rules state that prepayment meters must only be used as a last resort, but numbers have increased since energy prices increased.
Minister for energy and climate Graham Stuart said: “Switching users onto a prepayment plan should only ever be a very last resort and suppliers have a duty to exhaust all other avenues. It cannot be right that, at a time when consumers need compassionate treatment more than ever, so many are being let down in this way.
“The Government will continue to do all we can to ensure families and households stay warm this winter and we’re taking urgent action to bring about greater transparency when it comes to bad energy supplier practice.”
