British Gas has sacked the debt collection agency it used to force fit prepayment meters following a backlash.
Arvato Financial Solutions, who worked on British Gas’ behalf, entered homes and force-fitted prepayment meters, an investigation previously found.
The investigation also showed that the meters were installed in some homes where the customers were known to have vulnerabilities.
Following the backlash over the practice, which led to an investigation by Ofgem and two parliamentary committees, the energy supplier said it would no longer use Arvato or another third-party to install the meters which cut people off if they couldn’t afford to top up.
After the initial investigation by The Times, British Gas launched an internal inquiry.
The company installed 25,000 prepayment meters under court warrant last year and its own compliance team analysed 321 cases from recent months for the review.
The inquiry found that there were 13 cases where Arvato employees did not adequately explain why they were installing the meters.
In a further 13, there was not enough information to show the installation was in line with rules and procedures.
Overall, the report said that there were “no systemic issues with prepayment meters” although there were a “limited number of cases” where there had been issues.
British Gas staff will now carry out the work going forward.
Chris O’Shea, chief executive of British Gas parent company Centrica, said: “I was deeply concerned when I saw the way some of our prepayment customers were treated earlier this year.
“It’s not how I want us to do business and I’d like to take this opportunity once again to say how sorry I am and to apologise to anyone involved in cases where our actions fell short of the high standards we set ourselves.
“I’m reassured that the investigation found no systemic issues with the treatment of prepayment customers, but it did highlight areas where we can, and should, do better.
“We’re already implementing those changes and I hope the action we are taking to improve our approach shows our commitment to doing everything we can to support our vulnerable customers.”
Last month, Ofgem announced a new code of practice which has been agreed by all energy suppliers including British Gas.
This also includes a ban on forcibly installing prepayment meters in the homes of those over the age of 85.
British Gas has added that it will not restart prepayment installations under warrant and is introducing a £10million fund to help customers in debt.
Arvato Financial Solutions has said it acted “compliantly at all times in accordance with the regulatory requirements”.
