Aug 29, 2018

British Gas pays £2.65m over invalid fees and charges

British Gas has paid £2.65m in refunds, compensation and redress after wrongly overcharging more than 94,000 customers who switched to new providers. According to the regulator Ofgem, British Gas charged customers its more expensive standard variable tariff rate after they decided to switch to a new supplier, due to a system error. British Gas also wrongly charged exit fees to 1,698 fixed deal customers. "Anthony Pygram, director of conduct and enforcement at Ofgem, said:"British Gas failed its customers who were coming to the end of their fixed contracts and switched supplier by unfairly penalising them and applying charges in error. Following Ofgem's findings, British Gas agreed to pay a further £244,770 in compensation to customers wrongly charged exit fees, and also paid £1,050,229 into Ofgem's consumer redress fund.

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