British Gas resumes forced prepayment meter installations after regulator lifts block

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British Gas prepayment meters resume

Highlights

British Gas can resume forced prepayment meter installations this winter after the regulator lifted a near four-year ban tied to prior misconduct.
British Gas previously paid a settlement exceeding £100 million after debt collectors forcibly installed meters in vulnerable customers’ homes during the 2023 scandal.
The regulator now allows all suppliers to restart forced installations except in homes with young children or residents over 75, heightening consumer anxiety amid high winter bills.

Regulator decision clears winter restart

As reported by The Guardian, the industry regulator has lifted the block that had prevented British Gas from forcing prepayment meters into customers’ homes as a way to recover unpaid bills.

The restriction had been in place for almost four years and followed the supplier’s role in the prepayment meter scandal during the Russian gas crisis. British Gas paid a settlement worth more than £100 million, described as the largest on record, after debt collectors entered the homes of vulnerable customers.

The latest decision means British Gas agents can begin force-fitting meters from this winter. The company first came under heavy criticism in 2023, when households were already facing some of the highest energy bills in recent years.

Consumer concerns and wider sector impact

The earlier scandal drew scrutiny after an investigation by the Times said debt agents working for British Gas ignored signs of vulnerability while installing meters in struggling households, including customers with severe mental health issues and physical disabilities.

The backlash spread across Whitehall and among fuel poverty campaigners as the government was spending billions to limit energy costs and avoid a broader collapse in the supplier market. Within a year, the regulator lifted its wider industry moratorium, allowing other suppliers to restart forced installations, although homes with young children or people aged over 75 remain protected from the practice.

The regulator says a prepayment meter installed under a warrant should only be used as a last resort, with rigorous checks to ensure debts are recovered lawfully, proportionately and safely. It also says smart pay-as-you-go meters are a positive option for many customers, but campaigners warn the timing will intensify anxiety for households at risk of falling behind on bills this winter.

Our earlier coverage of the Bank of England’s assessment of the energy price shock noted that UK policymakers believe the economy has absorbed higher energy costs better than initially feared, supported by fiscal measures and central bank interventions. The article also emphasized that inflation and market volatility remain key risks as energy-related pressures persist, requiring continued monitoring and adaptable policy to protect financial stability.

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