10 UK Energy Suppliers Fined £7M for Price Cap Violations

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Breaking: Energy watchdog Ofgem orders ten suppliers to pay £7 million after overcharging 34,048 customers with restricted meters. The scandal spans five years.

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Octopus, EDF, E.ON Next, Ecotricity, Outfox the Market, Ovo, Rebel, So, Tru, and Utility Warehouse are the suppliers involved. Octopus owes the most at £2.6 million.

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How did this happen? These companies applied multiple standing charges to homes with restricted meters, pushing total bills above the legal price cap limit set by Ofgem.

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Affected customers had no idea they were being overcharged. The violations occurred between January 2019 and September 2024 – that's nearly 5 years of overpayments!

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The compensation includes £5.6 million in direct refunds plus £1.4 million in additional goodwill payments. Most customers will receive refunds automatically.

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Our duty is to protect energy consumers... suppliers must have robust processes so they can bill their customers accurately," said Charlotte Friel, Ofgem director.

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Did you know? This overcharging scandal happened during a major cost-of-living crisis, with 12.7% of English households (3.12 million) already in fuel poverty.

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The technical culprit: Properties with multiple meter points can legally have multiple standing charges, but the total bill must still comply with the price cap law.

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What if you've switched suppliers? You may still be eligible for compensation, but might need to contact your previous supplier to claim your refund.

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This isn't an isolated incident. Since 2020, Ofgem has recovered over £400 million from energy suppliers for various rule violations through its Energy Industry Voluntary Redress Scheme.

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