10/04/2014
British Gas Business To Pay £5.6m Fine
Corporate customers are to be compensated by British Gas Bussiness for a series of failures that prevented them from getting cheaper bills or blocking firms to change to other suppliers.
The regulator, Ofgem, said British Gas Business would pay a total penalty of £5.6m, with £800.000 of that sum in fines, on top of the £1.3m already paid to 1.200 customers who ended up paying higher bills because they were not notified when their contracts were due to expire.
The energy regulator also said that £3.45m would go to an energy efficiency fund.
The company blamed a computer error for the blocking of customers wanting to switch and said the company failed to communicate properly with those affected.
Ofgem said that 5.6% of objections British Gas Business made to customers switching suppliers between 2007 and 2012 were "invalid".
The watchdog said British Gas Business cooperated fully throughout its inquiry which began in 2012.
The regulator's enforcement partner, Sarah Harrison said that it "fully accepts its failings, has stopped the practices and corrected its processes to prevent this happening again. The company has taken responsibility for its actions and this package strikes a balance of penalty for the company and redress for affected consumers."
Managing director of British Gas Business Stephen Beynon, said: "We're sorry these errors occurred and have worked swiftly to change our computer systems and processes, putting controls in place to stop this happening again."
(CVS)
The regulator, Ofgem, said British Gas Business would pay a total penalty of £5.6m, with £800.000 of that sum in fines, on top of the £1.3m already paid to 1.200 customers who ended up paying higher bills because they were not notified when their contracts were due to expire.
The energy regulator also said that £3.45m would go to an energy efficiency fund.
The company blamed a computer error for the blocking of customers wanting to switch and said the company failed to communicate properly with those affected.
Ofgem said that 5.6% of objections British Gas Business made to customers switching suppliers between 2007 and 2012 were "invalid".
The watchdog said British Gas Business cooperated fully throughout its inquiry which began in 2012.
The regulator's enforcement partner, Sarah Harrison said that it "fully accepts its failings, has stopped the practices and corrected its processes to prevent this happening again. The company has taken responsibility for its actions and this package strikes a balance of penalty for the company and redress for affected consumers."
Managing director of British Gas Business Stephen Beynon, said: "We're sorry these errors occurred and have worked swiftly to change our computer systems and processes, putting controls in place to stop this happening again."
(CVS)
Related UK National News Stories
Click here for the latest headlines.
31 July 2008
Centrica Posts £1 Million In Profits - To Consumers Anger
British Gas owner Centrica has posted half-year profits of almost £1 billion - much to the anger of consumer groups. Centrica maintain that it has been "absolutely necessary" to raise household gas prices as profits were down 20% in the first six months of this year to £992 million - down from £1.23 billion in 2007.
Centrica Posts £1 Million In Profits - To Consumers Anger
British Gas owner Centrica has posted half-year profits of almost £1 billion - much to the anger of consumer groups. Centrica maintain that it has been "absolutely necessary" to raise household gas prices as profits were down 20% in the first six months of this year to £992 million - down from £1.23 billion in 2007.
13 January 2011
British Gas Invests For Vulnerable Customers
British Gas have announced that it is making a new investment of £37 million in support for its vulnerable customers. Each customer on British Gas' Essentials social tariff will receive £50 as a credit on their winter bill. Prepayment customers will receive the credit direct to their meter.
British Gas Invests For Vulnerable Customers
British Gas have announced that it is making a new investment of £37 million in support for its vulnerable customers. Each customer on British Gas' Essentials social tariff will receive £50 as a credit on their winter bill. Prepayment customers will receive the credit direct to their meter.
29 May 2014
British Gas Boss Resigns To Join Aggreko
British Gas boss Chris Weston has resigned. Mr Weston is to take up a new post as CEO of Aggreko plc. He is subject to 12 months' notice and a further announcement will be made in due course regarding the timing of his departure and succession for the leadership of Centrica's International Downstream business.
British Gas Boss Resigns To Join Aggreko
British Gas boss Chris Weston has resigned. Mr Weston is to take up a new post as CEO of Aggreko plc. He is subject to 12 months' notice and a further announcement will be made in due course regarding the timing of his departure and succession for the leadership of Centrica's International Downstream business.
26 August 2014
200 Homes Still Without Gas After Water Leak
Around 200 homes in Wales are still without gas after a burst water pipe flooded gas lines last Thursday. Wales and West Utilities have said that some 150,000 litres of water has been pumped from gas pipes since last Thursday, with 540 of the 755 homes affected by the leak, now reconnected.
200 Homes Still Without Gas After Water Leak
Around 200 homes in Wales are still without gas after a burst water pipe flooded gas lines last Thursday. Wales and West Utilities have said that some 150,000 litres of water has been pumped from gas pipes since last Thursday, with 540 of the 755 homes affected by the leak, now reconnected.
13 May 2013
18% Rise In Gas Usage At Beginning Of 2013
Residential gas use in the UK increased by 18% in the first four months of 2013, Centrica has revealed. Blaming the colder weather, Centrica, which owns British Gas, added that the benefit they say from the increase gas usage would be used to “to maintain our price competitiveness".
18% Rise In Gas Usage At Beginning Of 2013
Residential gas use in the UK increased by 18% in the first four months of 2013, Centrica has revealed. Blaming the colder weather, Centrica, which owns British Gas, added that the benefit they say from the increase gas usage would be used to “to maintain our price competitiveness".