ADS comment on Scottish Power’s £1.5 million payout to customers overcharged during energy crisis

Glasgow, Scotland – April 16, 2024:

Scottish households are being urged to check their gas and electricity bills after it emerged that Scottish Power will pay £1.5 million in refunds and compensation for overcharging thousands of customers.

Regulator Ofgem announced today that the energy firm has agreed to the compensation package for charging customers above the level of the price cap during the peak of the energy crisis, with thousands of people due a refund.

Affected customers should have received an automatic payment and do not need to do anything.
Advice Direct Scotland, which runs the national energy advice service energyadvice.scot, has welcomed the payments.

However, the charity has warned billing problems are its most common complaint and is encouraging Scots to regularly check the accuracy of their statements.

Those with smart meters are being urged to make sure the device is working, while those with traditional meters should submit gas and electricity readings to avoid overcharging.

energyadvice.scot provides free, impartial, and practical advice on energy bills to anyone in Scotland.
Advisers can be contacted at www.energyadvice.scot and on freephone 0808 196 8660, Monday to Friday, 9am to 5pm.

ADS is also campaigning for the introduction of a social energy tariff, which would automatically enrol struggling households on the cheapest deal, in an effort to alleviate fuel poverty in the UK.

Hazel Knowles, Energy Lead for Advice Direct Scotland, said:

“While any redress is welcome, and those Scottish Power customers affected should have already been compensated, this underlines the importance of checking your bills.

“With the cost-of-living crisis far from over, demand for help across Scotland with energy bills has never been higher and is the most pressing reason for people getting in touch.

“It is vital that people look at what they are paying and keep a close eye on the energy market.

“Taking regular meter readings and checking the level of your direct debit are as important as ever. If you have a smart meter, make sure it’s working.

“The important thing to remember is that nobody should struggle alone, and help is available.

“Our energyadvice.scot service provides free, practical advice on the support and assistance available, such as grants, and ensures that people can access all entitled benefits.

“Anyone who believes they have been incorrectly charged or is experiencing other difficulties with their supplier should visit www.energyadvice.scot or call 0808 196 8660 for assistance.”

NOTES

Ofgem’s announcement can be found here: Scottish Power to pay £1.5m for overcharging customers.

More information about Advice Direct Scotland’s campaign for a social energy tariff, including resources to support the campaign, can be found here: Energy Social Tariff.

A PDF of Survation Scotland Survey conducted on behalf of Advice Direct Scotland can be downloaded here: Survation Survey: 14th to 20th February, 2024.

News on Advice Direct Scotland’s Social Energy Tariff Campaign can be found here: Advice Direct Scotland launches social energy tariff campaign.

News on the recently conducted poll can be found here: New poll: Three-Quarters of Scots limit energy use amidst concerns over high bills – Advice Direct Scotland.

Advice Direct Scotland is a charity which runs the national advice service advicedirect.scot. Advice is available to everyone in Scotland, at no cost, regardless of personal circumstance.

Advice related to energy issues is available at www.energyadvice.scot and on freephone 0808 196 8660, Monday to Friday, 9am to 5pm.

The website also includes an online knowledge centre for Scots, with information on:

• Billing and meters

• Complaints and disputes

• Grants and assistance

• Scams and fraud

• Loss of energy supply

• Switching suppliers.