Npower today agreed to pay vulnerable customers £3.5 million after an investigation by the energy industry watchdog found the Big Six provider used misleading sales tactics.
Npower breached sales rules covering how energy deals can be sold on the doorstep and over the phone, Ofgem said. It said npower did not get enough information from potential customers about gas and electricity usage to enable them to make informed decisions about switching suppliers. It also failed to ensure price comparisons between npower’s deals and those of the customer’s current supplier were based on the tariff customers were on.
But Ofgem said that all breaches had ceased by September 2012.
Npower will hand out at least £25 to each of its “warm home discount” customers in the form of an account credit or a pre-payment meter top-up.
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