Centrica subsidiary British Gas Business paid £5.6 million over switching and contract-renewal failures
Company: Centrica plc
Summary
Ofgem found that British Gas Business, part of the Centrica group, incorrectly prevented some non-domestic customers from switching energy suppliers and failed to notify approximately 1,200 business customers that their contracts were approaching expiration. Ofgem reported that approximately 5.6% of British Gas Business objections to non-domestic customers switching suppliers between 2007 and 2012 were invalid. The regulator announced a £5.6 million package comprising an £800,000 financial penalty, customer compensation and payments into an energy-efficiency fund. British Gas Business accepted the failings, cooperated with the investigation and corrected the relevant processes. This record attributes the regulatory findings to Centrica through its British Gas business and does not allege conduct beyond Ofgem's findings. Source / proof: Ofgem: https://www.ofgem.gov.uk/press-release/british-gas-business-makes-payments-ps56m-following-errors-its-switching-and-renewal-processes
Record details
- Category
- Corporate Misconduct
- When it happened
- 2007–2012
- Status
- Resolved (May 20, 2014)
- Severity
- high
- Added to Rotten Company
Source
No source document is attached to this record. It was approved under our moderation guidelines.