Millions of households across the country are facing the continued challenge of keeping on top of ever-increasing energy bills, despite the additional monthly financial assistance from the UK Government to mitigate the rising cost of living. Higher bills and energy debt could see more people being forcibly switched to a prepayment meter, something Labour is keen to see banned until at least Spring.
Shadow climate secretary Ed Miliband has written to Business Secretary Grant Shapps calling for an “immediate moratorium” on switching households over to more expensive pre-paid energy tariffs. He pressed for the ban to last “at least three months” to help those struggling to pay their bills to stay warm during the colder months.
However, many households may not be aware that the energy regulator Ofgem has rules in place that restrict the force-fitting of a prepayment meter on customers who are in debt, except as a last resort, and only where it is safe to do so.
Circumstances under which it is deemed not safe to have a prepayment meter include people over State Pension age, those with specific disabilities or illnesses, pregnant women and households with children under the age of five.
Citizens Advice has previously raised concerns to Ofgem and the UK Government that it had seen evidence of suppliers forcing people in these groups on to prepayment meters and Mr Miliband’s intervention comes after Citizens Advice said an estimated 3.2 million people across Britain ran out of credit on their prepayment meter last year - the equivalent of one every 10 seconds - because they could not afford to top up.
Mr Miliband said: “It is shameful that forced installation of prepayment meters is cutting off people’s heat and power, including some of the most vulnerable people in our society. We need immediate action to halt this scourge of blackouts by the back door.
“Labour is calling for a moratorium to stop even greater misery this winter, while the Government, regulator and energy companies get a grip on this problem, to tackle the hardship millions are facing. Rishi Sunak must not blame others for what is his Government’s dereliction of duty - he is standing by while families across the country are being cut off.”
A UK Government spokesman said: “We know it is a difficult time for families across the country. That is why we have acted swiftly to provide support, including the Energy Price Guarantee, saving the typical household around £900 this winter, as well as £400 payments towards bills and £1,200 for the most vulnerable households.
“The Government expects energy suppliers to do all they can to help customers who are struggling to pay their bills and suppliers can only install prepayment meters without consent to recover debt as a last resort.
“The regulator Ofgem requires energy suppliers to offer solutions for customers in, or at risk of, debt or disconnection.
“This includes offering emergency credit to all prepayment meter customers and additional support credit to customers in vulnerable circumstances.”
Ofgem rules
If you are worried you can’t afford to top up your prepayment meter, contact your supplier straight away - Ofgem rules mean they must offer emergency support.
This includes:
- emergency credit if your meter runs low or runs out
- ‘friendly hours’ credit if top-up points are closed and your meter is running low - you can access this overnight, at weekends and on public holidays
- extra support credit if you are in a vulnerable situation and have few options to pay
- extra support credit while you work out ways to pay if you are in a vulnerable situation
Priority Services Register
The Priority Services Register is a free support service that makes sure extra help is available to people in vulnerable situations.
Many things can make us vulnerable or put us in a vulnerable situation.
You could be considered vulnerable if you:
- have reached your State Pension age
- are disabled or have a long-term medical condition
- are recovering from an injury
- have a hearing condition
- have a sight condition
- have a mental health condition
- are pregnant
- have children under the age of five
- have extra communication needs (such as if you don’t speak or read English well)
- cannot safeguard your welfare or the welfare of other members in your household because of your age, health, disability or severe financial insecurity
- are eligible for the Priority Services Register - a support service for vulnerable people
You might be in a vulnerable situation for other reasons if your situation isn’t listed. For example, if you need short-term support after a stay in hospital or have financial difficulties. If you aren't sure, always speak to your supplier or network operator and explain your situation.
How to sign up for the Priority Service Register
Energy suppliers and Network operators will both keep a Priority Services Register. If you think you should be added to either you need to contact your energy supplier or network operator.
Give them your contact details and as much information as you can about your needs.
Your supplier can pass your details to your network operator to add you to their register too. It’s a good idea to ask them to do this if you rely on your energy supply for medical reasons.
If you have a different supplier for your gas and electricity, you need to contact them both.
Full details about the service can be found on the Ofgem website here.
If you need more information about energy bills, prepayment meters or the Priority Services Register, help is available from Citizens Advice on 0808 223 1133 or via their online webchat and Advice Direct Scotland on 0808 196 8660 or via their online webchat.
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