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You can find the current article at its original source at http://www.theguardian.com/business/2013/dec/20/npower-pay-fine-misleading-vulnerable-customers-switching
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| Npower to pay £3.5m for misleading customers over switching | |
| (about 1 hour later) | |
| Npower has agreed to pay £3.5m to help vulnerable customers as a punishment for misleading consumers considering switching their energy provider. | Npower has agreed to pay £3.5m to help vulnerable customers as a punishment for misleading consumers considering switching their energy provider. |
| The power company breached sales rules on the doorstep and over the phone up until September 2012, the regulator Ofgem said. | The power company breached sales rules on the doorstep and over the phone up until September 2012, the regulator Ofgem said. |
| The regulator said npower did not get enough information from potential customers so they could make an informed decision about switching. It also failed to make sure comparisons between npower's rates and the customer's provider were accurate and gave inaccurate information on direct debits. | The regulator said npower did not get enough information from potential customers so they could make an informed decision about switching. It also failed to make sure comparisons between npower's rates and the customer's provider were accurate and gave inaccurate information on direct debits. |
| Ofgem's ruling comes as energy suppliers face political pressure and public uproar over rising prices. Accusations of shoddy sales practices have bedevilled the industry for years. | |
| As punishment for its failings, Npower will set up a fund to pay at least £25 to each of its current customers who receive warm home discount payments. Any money not paid out will be paid into npower's fund for homeowners with cold-related illnesses who cannot afford necessary heating repairs and equipment. | |
| Ofgem's senior enforcement partner, Sarah Harrison, said: "Npower has done the right thing by stepping forward and recognising that, whilst it was making changes to improve its sales processes, weaknesses remained which affected consumers' ability to compare supplier offers fairly. | Ofgem's senior enforcement partner, Sarah Harrison, said: "Npower has done the right thing by stepping forward and recognising that, whilst it was making changes to improve its sales processes, weaknesses remained which affected consumers' ability to compare supplier offers fairly. |
| "Ofgem will continue to hold companies to account to ensure rules to protect energy consumers are met and that the market works for consumers in a simpler, clearer and fairer way." | "Ofgem will continue to hold companies to account to ensure rules to protect energy consumers are met and that the market works for consumers in a simpler, clearer and fairer way." |
| Ofgem's investigation covered the period between 2010 and 2012. The regulator said npower had corrected its sales practices. | Ofgem's investigation covered the period between 2010 and 2012. The regulator said npower had corrected its sales practices. |
| In a further sign of the hostile environment for energy suppliers, the British Gas executive who led a botched attempt to talk to customers via Twitter has quit. Bert Pijls, British Gas's residential customer services managing director, has left the Centrica-owned business to return to the Netherlands after a reorganisation. | |
| In October, Pijls invited questions from customers using the hashtag #AskBG but was bombarded by hostile comments such as: "Which items of furniture do you, in your humble opinion, think people should burn first this winter?" | |
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