People over 85 and people with certain disabilities are protected from forced prepayment of energy meters thanks to new Ofgem rules, but the devices can still be fitted in millions of homes from May.
Prepayment meters were in the spotlight after it appeared last month that energy companies were installing them without their customers’ wishes.
Companies, including British Gas, sent collection agencies to break into the property of people struggling to pay their bills and forcibly installed the devices.
In response, energy regulator Ofgem today banned the forced installation of prepaid energy meters in the homes of the over 85s and people with certain disabilities.
But the new Ofgem rules still allow energy companies to forcibly install prepayment meters in most UK households, including those of people with conditions such as Alzheimer’s, Parkinson’s and depression.
Call back: Those 85 and older won’t be forced to have prepayment meters installed in their homes, but plenty of other groups aren’t exempt
Here you can read all about how the new rules work and at which homes prepayment meters can still be installed without permission.
Did you have a prepayment meter installed under duress? Email to helen.kirrane@thisismoney.co.uk
What are the new prepayment meter rules?
All energy companies in England, Scotland and Wales have signed a code of conduct with clear procedures to protect vulnerable customers. Employees are now also required to wear body cameras. However, the code is voluntary.
It comes after energy suppliers were temporarily banned from involuntarily installing prepaid meters in people’s homes, as vulnerable people were found to have meters forcibly installed in their homes by British Gas and other suppliers.
New consumer protections now mean that from May, suppliers must make multiple contact attempts in different ways and complete a welfare visit before involuntarily installing a prepayment meter.
Energy suppliers are now also required to wear an audio recording device or body camera on all on-site welfare visits and installation visits.
They are not allowed to install prepayment meters for customers over the age of 85 or anyone with a terminal illness or certain disabilities.
Those forced into a prepayment meter – either by writ or by remote – are initially credited with £30 to reduce the risk of losing stock.
Suppliers have also been told to identify where meters have been installed in error and to revert those customers to their previous rate and offer compensation.
Who is exempt from forced meter prepayment?
Those in the “high risk” categories are exempt from forcing prepayment meters to be installed under the code.
Also exempt are people aged 85 and older who live alone. Households that need a continuous energy supply, for example because someone in the household needs a ventilator or dialysis, are also exempt.
Exemptions also apply to those who are unable to operate a prepayment meter due to physical or mental health issues.
Households with members who have a chronic or severe or terminal health condition, such as cancer or cardiovascular or respiratory disease, are also not forced to install a prepaid utility meter.
Who can still have a meter installed under duress?
Ofgem’s code includes a ‘medium risk’ category. The code states that suppliers must take into account the vulnerability of people in this group, but can still decide to force a prepayment meter.
This group includes households with over-75s and households with serious conditions such as Alzheimer’s disease, Parkinson’s disease, clinical depression and multiple sclerosis. This category also includes pregnant women.
Simon Francis of the End Fuel Poverty Coalition said: ‘We’re a little surprised at how they arrived at their classification.
‘How, for example, can someone with Alzheimer’s or cerebral palsy only be seen as a medium risk?
“These groups will now be subject to some form of health inspection by energy companies, which sounds very disturbing.”
Tom Marsland, policy manager at the charity Scope, continued, saying: ‘This process still allows energy companies to install prepayment meters in some disabled households.
‘The medium-risk group – which is not subject to an outright ban – includes people with conditions such as muscular dystrophy, cerebral palsy and Parkinson’s, for whom closure would be disastrous.
‘There should be a permanent ban on forcing people with disabilities to use prepayment meters.’
Heidi Chow, executive director of charity Debt Justice, said: ‘This is an absurd decision by a toothless regulator.’
An Ofgem spokesperson said the lists of conditions in the categories are “not exhaustive” and that “suppliers should look at all individual circumstances and make a judgement”.
The energy regulator added that its voluntary code could change in the future.
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