UK Energy Watchdog Opens 'Urgent' Probe Into Forced Installation of Pre-Pay Meters

Pre-payment meters oblige householders to 'top-up' credit on an electronic key or smart card at shops or online — which may prove difficult for the disabled and mentally-ill people targeted by British Gas and its firm of German debt collectors.

The UK's energy watchdog has launched an "urgent" investigation into suppliers sending bailiffs to break into vulnerable bill-payers homes to install pre-pay meters without permission.

Regulator Ofgem announced the probe into British Gas on Thursday amid the growing furore over its hiring of German-based debt collection firm Arvato Financial Solutions to force their way into homes and replace existing meters.

A major British newspaper revealed that some of those targeted had children, were severely physically disabled or were mentally ill. They included a middle-aged woman described in a note to the installer as "severe mental health bipolar," along with a mother whose "daughter is disabled and has a hoist and electric wheelchair."

Their existing meters were replaced with pay-as-you-go units, which have an electronic key or smart card which users must 'top up' with credit at shops or online — a challenge for the elderly, disabled and those with mental health issues.

Households with pre-payment meters are also unable to access the most advantageous tariff deals from suppliers, meaning they end up paying higher rates than monthly bill-payers.

"We are launching an urgent investigation into British Gas and we won't hesitate to take firm enforcement action," said an Ofgem spokesperson. "It is unacceptable for any supplier to impose forced installations on vulnerable customers struggling to pay their bills before all other options have been exhausted and without carrying out thorough checks to ensure it is safe and practicable to do so."

"The energy crisis is no excuse for unacceptable behaviour towards any customer, particularly those in vulnerable circumstances," the regulator said.

Business Secretary Grant Shapps said he was "horrified" by the revelations in the newspaper report, while Labour shadow climate and net zero secretary Ed Miliband demanded the government "ban the forced installation of prepayment meters this winter."

British Gas, a subsidiary of transnational energy giant Centrica, carries the name of the former nationalised gas supply utility. It is one of the "Big Six" energy firms that bill customers for both gas and electricity supplied by producers via infrastructure companies.