British Gas to pay £20m and wipe £70m in debt over prepayment meter scandal
British Gas to pay £20m and wipe £70m in debt over prepayment meter scandal
British Gas reaches a £20m payout and up to £70m debt write-off for vulnerable customers tied to a prepayment meter scandal spanning 2018-2021.
London — British Gas has agreed to a £20m payout and will write off up to £70m in energy debt for vulnerable customers connected to the prepayment meter saga that affected households from 2018 to 2021. The deal also includes compensation for customers who were subjected to the force-fitting of prepayment meters, including reports that debt agents working for the company broke into homes to install meters. The package is described as a step toward accountability after years of criticism over how the meters were handled and how customer debt was managed.
Industry observers say the settlement could set a benchmark for stronger protections and greater transparency across the energy sector, while consumer groups hope it delivers meaningful relief for those who faced hardship. The agreement is framed as a meaningful remedy for affected customers and a signal that firms must prioritise vulnerable customers in debt-management practices.