"Energy Giant Faces £90m Bill for 'Debt Trap' Scandal: Thousands of Vulnerable Households to Receive Compensation. In a landmark decision, British Gas has been hit with a £20m penalty and ordered to write off £70m in debt for thousands of customers who were subjected to a 'debt trap' scheme. The energy regulator, Ofgem, found that British Gas had force-fitted prepayment meters in homes that were struggling to pay their bills, particularly during the 2022 Russian gas crisis. The move has been deemed a breach of consumer protection laws, and the £90m fine is one of the largest ever imposed on a UK energy company. Those affected are set to receive compensation worth up to £112m."
Redress for force-fitting devices in homes of vulnerable includes £20m penalty and £70m of debt write-offsThousands of British Gas customers who had prepayment meters force-fitted in their homes will receive compensation and energy bill debt write-offs worth up to £112m after an investigation into the scandal.Great Britain’s energy regulator found that British Gas forced prepayment meters on homes that were not keeping up with their bills at the height of the Russian gas crisis, in one of the most complex Ofgem investigations in its history. Continue reading...