National Energy Action (NEA), the fuel poverty charity, called on 3 February 2023 for a ban on forced prepayment meter installations, following reports that suppliers had used warrants to install prepayment meters in customers' homes1. The charity said it was supporting growing calls for a temporary ban on forced installs1.
Peter Smith, director of policy at National Energy Action, said the reports showed why a ban was needed, and pointed to what he described as widespread evidence that current licence conditions were not being effectively followed or enforced1. He said this was leading to vulnerable people being moved onto prepayment meters through bulk magistrate warrants or remote switches1.
"It doesn't just put those households directly affected at risk, it undermines confidence of millions vulnerable people to seek support from suppliers to get them through the worst of the energy crisis. Beyond supporting growing calls for a temporary ban on forced installs, we need to develop a bespoke plan to stop people building up debt and self-disconnecting in the first place. This means rewiring the energy market to provide more affordable tariffs and finding new ways to address the underlining debt issues, which are rife due to soaring energy costs."
The charity's statement did not set out how long a temporary ban should last, which suppliers were involved in the reported installations, or how many households had been affected. Those details have not been reported by the charity1. The announcement also did not say whether any supplier, regulator or government body had responded to the call, or whether a ban had been agreed1.
Why it matters for households
A prepayment meter requires credit to be added before energy is used, so a household moved onto one pays for power in advance rather than in arrears. Where the change is involuntary, it also moves the household onto a different payment method and, in practice, a different relationship with the supplier over debt. The rules on whether a supplier can force someone onto a prepayment meter and the protections for vulnerable customers are the parts of the licence conditions NEA says are not being effectively adhered to or enforced1.
For a home's energy independence, the practical point is control over when and how energy is bought. A prepayment meter ties supply to topping up, and self-disconnection becomes possible when credit runs out. NEA's stated concern is that fear of enforcement undermines the confidence of vulnerable people to approach suppliers for support at all1, which affects whether a household seeks help before debt builds. The charity also frames the issue as one of debt accumulating in the first place, rather than only of how existing debt is collected1.
The moratorium on involuntary prepayment meter installations and supplier conduct on prepayment meters and customer debt sit alongside the warrants and disconnection process that NEA's statement refers to. Repayment of debt through a meter is covered under repaying energy debt through a prepayment meter.
What happens next
No dated next steps were set out in the charity's announcement. It did not state when a decision on a temporary ban might be expected, or who would take it1.