Russ Mould, investment director at AJ Bell, said: “Centrica-owned British Gas has been reprimanded by energy regulator Ofgem for its behaviour involving the forced fitting of pre-payment meters and failing to protect vulnerable customers.
“It will now pay £20 million into a compensation fund and write off up to £70 million worth of vulnerable customers’ energy debt.
“This is a major embarrassment for one of the country’s biggest energy suppliers and for parent company Centrica.
“Chief executive Chris O’Shea says processes have already changed, but the scale of the redress and public shaming means Centrica’s reputation is on the line.
“This is not a situation where a big company pays a fine and moves on. It’s a scandal that points to unacceptable behaviour, with the CEO even saying, ‘What happened should never have happened’.
“Centrica has a duty to treat customers fairly and it has fallen short.”
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