3 April 2024
Tens of thousands affected in Scotland, only 1,502 get compensation across the UK
Citizens Advice Scotland (CAS) has said early compensation figures for the forced installation of prepayment meters are a ‘drop in the ocean’ compared to the scale of the problem.
Figures from Ofgem today reveal that 1,502 customers have received compensation, totalling £342,450. Suppliers are planning more payments of around £200,000 for 1,000 more customers.
However, previous estimates from the charity found that in Scotland alone, around 23,936 people were forced onto an electric prepayment meter against their wishes, with around 12,000 forced onto a prepayment meter for gas.
Companies have also used a ‘back door’ approach, but switching smart meters into pay as you go meters. In these cases, around 17,952 have seen their meter changed without their consent and around 12,000 for gas.
Commenting, CAS Energy spokesperson Dr Matthew Lee said:
“It is very welcome that Ofgem and suppliers are working together to get compensation to people who wrongly had prepayment meters installed against their wishes.
“However, these early figures – totalling 1,502 across the UK – are potentially a drop in the ocean compared to the scale of the problem.
“In Scotland alone we estimate tens of thousands of people were forced onto pay as you go energy against their wishes.
“The forced installation of these meters should be banned permanently. For many people it means energy is a luxury at the start of the month, and then something they have to ration or even go without the further away the get from pay day.
“Anyone who is worried about bills and money this winter should seek advice from the CAB network. For anyone on a prepayment meter struggling to top, don’t struggle alone. Advice and support is available from www.cas.org.uk."
ENDS
NOTES TO EDITORS
Compensation for involuntary installation of prepayment meters, 1 January 2022 to 31 January 2023 - https://www.ofgem.gov.uk/publications/compensation-involuntary-installation-prepayment-meters-1-january-2022-31-january-2023