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Edinburgh Live
Edinburgh Live
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Josie Clarke, PA & Katie Williams

Households issued energy scam letter warning amid cost of living crisis

Households have been issued a warning as bill payers are facing a 'huge' jump in energy-related scams.

Fraudsters are exploiting the energy crisis as fear and confusion rises around soaring bills. This comes after scams mentioning the 'big six' energy firms in the first quarter of this year were up by 10 per cent, with January alone seeing a 27 per cent year-on-year increase, according to Action Fraud, as reported by Which?.

Now with Ofgem confirming an 80 per cent rise on the energy price cap, bills will soar and scammers will take advantage, households are being warned.

READ MORE- Martin Lewis issues energy bill warning to anyone thinking about cancelling their Direct Debit

The consumer website is warning people to wary of of unsolicited emails, texts or letters which may request sensitive information or ask you to complete a bank transfer.

Which? notes that it believes the true figures of the scams earlier this year are likely to be even higher as many attempts go unreported, as PA news agency reports.

A common scam involves phishing emails in which a fraudster posing as an energy supplier invites the customer to claim a refund due to a miscalculation on their energy bill, but requires the recipient to reveal their bank details.

Fraudsters are also taking advantage of various government grants set up to incentivise take-up of insulation, heat pumps and other products by impersonating legitimate schemes online, via cold calling and even on the doorstep.

Research from Citizens Advice suggests that around five million people may have been taken in by such scams, paying for services that never materialised.

In the report by Which?, it found that Brilliant Energy customers received sophisticated phishing emails, including their names and knowledge of their former supplier, more than two years after the company had collapsed.

The collapse of several small energy firms had also created an atmosphere of confusion around outstanding bills, with scammers utilising uncertainty to pose as debt collection firms, the consumer group warned.

Customers of other bust firms including Solarplicity, Future Energy and Northumbria Energy have been similarly affected.

Which? Money editor Jenny Ross says: “We advise all consumers to be wary of unsolicited emails, texts or letters, especially those not addressed to you by name, which might request sensitive information or ask you to complete a bank transfer.

“If in doubt, contact your energy supplier directly using the contact information on their website.”

An Ofgem spokeswoman said: “Protecting consumers is our top priority and it is alarming that vulnerable customers are being preyed upon in this way when people are already struggling so much.

“That’s why, as energy regulator, on top of issuing our own warnings and advice, we have asked all energy suppliers to ensure clear and up-to-date information on scams is easily accessible on their websites.

“We take these attempts to exploit consumers very seriously and work with the National Cyber Security Centre to prevent these malicious attacks.

“If people are unsure if something is a scam, they should pause, check and don’t let callers push you into anything. Genuine organisations won’t mind you calling back; only scammers apply pressure and insist you hand over details immediately.

"If you have any doubts about a message, consumers should contact the organisation directly and not use the numbers or address in the message – use the details from their official website.”

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