Ovo Energy, one of the UK’s largest energy providers, is set to compensate over 11,000 customers. This decision follows a significant delay in the distribution of electricity bill discounts, aimed primarily at vulnerable households. The energy regulator, Ofgem, has mandated Ovo to pay more than £2.7 million in redress for this oversight.
Details of the Compensation
The total compensation sums to £2,765,200, with each affected customer receiving at least £150. That includes:
- 11,646 customers will receive £150 each.
- Out of those, 4,066 customers classified as medically vulnerable will receive an additional £150.
- Customers who struggled to top up their prepayment meters will receive £100 for each incident between March 31 and May 31, 2024.
Impact on Vulnerable Customers
Approximately 11,000 customers faced significant challenges due to the delay. According to Ofgem, 7,726 of these customers were recognized as vulnerable energy consumers. Affected individuals have already been contacted and will receive automatic compensation without needing to take any further action.
Background on the Delay
The issue arose when Ovo failed to pay the warm home discount by the deadline of March 31, 2024. The compensation payments were not issued until November 2025, resulting in vulnerable customers missing out on essential support during the cold winter months.
Ovo’s Response
In light of the situation, a spokesperson for Ovo expressed regret for the delay. They stated, “We’re very sorry that some customers did not receive their Warm Home Discount payments on time. We have worked closely with Ofgem to understand what went wrong and to put measures in place to ensure it does not happen again.”
The spokesperson emphasized that all affected customers have now been compensated and acknowledged that Ovo did not meet its own service standards.
