British Gas resume force-fitting prepayment meters months after £112m settlement
British Gas has resumed force-fitting prepayment meters in vulnerable customers' homes just months after paying a record £112m settlement for similar practices.
The industry regulator has lifted an almost four-year block that prevented British Gas from recovering unpaid bills by fitting prepay meters in customers' homes. This decision comes after the supplier paid the largest settlement on record for its role in the prepay meter scandal during the peak of the Russian gas crisis.
British Gas agents will now be able to force-fit pay-as-you-go meters in homes from this winter as households face some of the highest energy bills since 2023, when the supplier first faced criticism over its treatment of vulnerable customers.
Previous scandal details
The previous scandal involved debt agents ignoring signs of vulnerability in struggling households while installing meters, including those with severe mental health issues and physical disabilities. The investigation by The Times revealed these practices occurred at a time when the government was spending billions to help cut energy bills and prevent industry collapse.
It's almost as if regulators and ministers are failing to remember the lessons of the last energy price spike. While more protections are now in place than in 2022, we know that magistrates are still approving bulk batches of applications for forced prepayment meter installs and some of the system failures identified in the original investigations are still happening.
Current protections
Under Ofgem's rules, all suppliers must make at least 10 attempts to contact a customer before a prepayment meter is installed and carry out a welfare visit. Meters should never be fitted in homes of the highest risk customers, including those with people over 75, under 2, or those with severe health issues.
British Gas defended its plan, noting household energy debt is forecast to exceed £7bn, adding around £80 to the average bill. The supplier claims it will "engage early, offer targeted support and agree flexible, affordable repayment options" and that involuntary fittings "remain a last resort".
Regulatory response
The government emphasized that this is a regulatory decision by Ofgem but stated they "cannot allow past rogue practices to be repeated." A government spokesperson said they are "closely watching to make sure companies protect their customers and act within Ofgem's rules."
Ofgem confirmed it would "continue to closely monitor suppliers and will take action if we identify instances where our rules are not being followed." The regulator stressed that installing a prepayment meter under a warrant "should only be a last resort, with rigorous checks to ensure debt is recovered lawfully, proportionately and safely."
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