Prepayment Meters: Compensation

Energy Security and Net Zero – in the House of Commons am ar 21 Mai 2024.

Danfonwch hysbysiad imi am ddadleuon fel hyn

Photo of Dan Carden Dan Carden Llafur, Liverpool, Walton

What estimate she has made of the number of households receiving compensation after being involuntarily fitted with prepayment meters.

Photo of Amanda Solloway Amanda Solloway Government Whip, Lord Commissioner of HM Treasury, Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)

The energy suppliers are responsible for paying compensation. They have carried out 150,000 assessments so far, with 2,500 customers due compensation. A total of 1,502 payments have been made, with 1,000 more planned.

Photo of Dan Carden Dan Carden Llafur, Liverpool, Walton

Despite the energy ombudsman ruling that one of my constituents should not have been placed on a prepayment meter due to her vulnerabilities, she has not been awarded a penny of compensation under the scheme. As the Minister has just outlined, only 1,500 people, out of 150,000, have had any compensation awarded at all. That is 1%, so why is the number so small? Could it be that the energy suppliers themselves, overseen by Ofgem, are deciding who is entitled to these payments? Both sat idly by as agents forced their way into people’s homes to install the prepayment meters.

Photo of Amanda Solloway Amanda Solloway Government Whip, Lord Commissioner of HM Treasury, Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)

I thank the hon. Gentleman for his question and for the opportunity to provide clarity. The forced installation of prepayment meters is clearly unacceptable, and the Government have done everything we can to counteract it. However, I reiterate that 150,000 investigations were carried out, in 2,500 of those cases compensation is due and, instead of 1%, the actual figure on compensation is 60%.