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Ovo Energy to pay £8.9m for overcharging customers

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Ovo, which is set to become the UK’s second-largest energy company, has been forced to pay £8.9m by regulators after it overcharged customers.

The firm, which bought SSE’s retail business last year, sent inaccurate statements to more than half a million customers.

Meanwhile, some of its customers did not receive a bill at all, the energy watchdog Ofgem said.

The firm agreed a settlement package with Ofgem to dodge a fine.

The money will be paid to vulnerable customers rather than the Treasury.

Despite knowing about the issues, Ovo did not tell Ofgem.

“Ovo Energy billed a number of its customers incorrectly and issued them with inaccurate information,” said Anthony Pygram, head of enforcement at Ofgem.

“The supplier did not prioritise putting these issues right whilst its business was expanding.”

In a statement, the energy company said “Ovo Energy holds itself to high standards, but we have not always got it right.”

Ovo – which was created 10 years ago – is already the UK’s largest independent energy supplier, with 1.5 million customers and about 2,000 employees.

But after buying SSE it has taken on another 3.5 million customers and 8,000 staff, making it second only to British Gas.

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By Laura Price

Laura is the senior writer and Smartphones section editor responsible for managing software updates and smartphones section. She is very passionate about Gadgets & Technology and always looking around to use them in an innovative way in daily life. She reviews Gadgets & Applications to tell users about their optimum use to get the most out of in which they’ve put their time and hard earned money.
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