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British Gas resumes force-fitting prepayment meters after Ofgem lifts four-year block

Ofgem has lifted a block imposed in February 2023 that stopped British Gas seeking warrants to force-fit prepayment meters, months after the supplier paid a settlement of more than £100m over the scandal.

A newspaper on a kitchen table beside a model of energy bills and the price cap.

British Gas has resumed force-fitting prepayment meters in the homes of customers who fall behind on their energy bills, after Ofgem lifted a block that had been in place since February 20231. The regulator had stopped the supplier seeking magistrates' warrants to force entry into customers' homes following investigations into debt agents who ignored signs of vulnerability1. The change was reported on 2 November 20262.

The block was lifted after Ofgem extracted a settlement worth more than £100m from the supplier for its role in the prepay scandal2. The End Fuel Poverty Coalition put the figure at £112 million, describing it as the largest settlement on record1. The Guardian reported that British Gas agents will be able to force-fit meters in homes from this winter, as households face some of the highest energy bills since 20232. Ofgem lifted its industry-wide moratorium on force-fitting within a year of the scandal, allowing some suppliers to restart installations, though forced fittings in homes with young children or people over 75 remain banned2.

Under current rules, suppliers must make at least ten attempts to contact a customer and carry out a welfare visit before a forced installation1. Meters must not be fitted in homes with people over 75, children under two, or anyone with severe health conditions or reliant on medical equipment1. Ofgem said installing a prepay meter under a warrant "should only be a last resort, with rigorous checks to ensure debt is recovered lawfully, proportionately and safely"2.

British Gas said involuntary prepay fittings would "remain a last resort, with robust vulnerability and affordability checks", and that it planned to "engage early, offer targeted support and agree flexible, affordable repayment options"2. It said household energy debt is forecast to exceed £7bn, adding more than £80 to the average household energy bill2. A government spokesperson said it was a regulatory decision by Ofgem and that ministers were "closely watching to make sure companies protect their customers and act within Ofgem's rules"2. Ofgem said it would continue to monitor suppliers and "take action if we identify instances where our rules are not being followed"2.

RuleRequirement
Contact attempts before installationAt least 101
Welfare visitRequired before installation1
Homes with people over 75Meters must not be fitted1
Homes with children under twoMeters must not be fitted1
Severe health conditions or medical equipmentMeters must not be fitted1

Why it matters for households

A forced prepayment meter changes how a home pays for energy: credit is bought in advance, and supply can stop when the balance runs out, subject to emergency credit arrangements. For a household already behind on bills, the switch moves debt recovery onto the meter itself. The protections above are the main check on when that can happen, and the rules on forced prepayment meters set out how they apply. The End Fuel Poverty Coalition cited earlier research finding that 22% of adults, around 12 million people, were worried about falling behind on their energy bills1. For energy independence, a prepayment meter gives a household direct control over what it spends, but it also means supply depends on topping up rather than on a monthly bill.

What happens next

The End Fuel Poverty Coalition called for MPs to ban forced prepayment meter installs in the forthcoming Energy Independence Bill1. Ofgem said it would continue to monitor suppliers2. No date has been reported for either the Bill or any further regulatory change.

Sources2 sources
  1. British Gas cleared to force-fit prepayment meters again as winter bills bite - End Fuel Poverty Coalition, endfuelpoverty.org.uk
  2. British Gas resumes force-fitting prepay meters months after £112m settlement | Energy bills | The Guardian, theguardian.com