Nearly two million UK energy customers are collectively owed a staggering £240 million in credit from old accounts they've forgotten about, according to a damning investigation by industry regulator Ofgem.
The Hidden Energy Credit Crisis
The shocking figures reveal that energy suppliers are sitting on millions of pounds that rightfully belongs to households across Britain. Many customers have built up credit on accounts they've since closed or switched away from, unaware that they're owed significant refunds.
Who's Most Affected?
Ofgem's analysis shows that customers who switched suppliers are particularly vulnerable to losing track of their credit balances. The regulator found that approximately 1.7 million households have unclaimed credit averaging around £140 each, with some individual amounts running into thousands of pounds.
Supplier Responsibility Under Scrutiny
The investigation has put energy companies under intense scrutiny, revealing significant failures in how they handle customer credit when accounts are closed. Ofgem has warned suppliers that they must make greater efforts to track down former customers and return their money.
"Suppliers are legally required to return credit to former customers, but our findings show they're not doing enough," stated an Ofgem spokesperson. "We're seeing cases where companies are making minimal attempts to contact people, then keeping the money when those attempts fail."
How to Claim What You're Owed
Energy experts advise consumers to take proactive steps:
- Contact previous energy suppliers directly, even if you switched years ago
- Keep records of old energy account numbers and switching dates
- Check bank statements for regular payment amounts to help suppliers locate your account
- Be prepared to provide proof of address from the relevant period
Regulatory Crackdown Imminent
Ofgem has announced it will be tightening the rules around how suppliers handle credit balances from closed accounts. The regulator is considering requiring companies to make multiple attempts to contact customers over extended periods before they can consider the funds abandoned.
The energy watchdog is also exploring whether to implement a central database where consumers could check for unclaimed credit across multiple former suppliers, similar to systems used for lost bank accounts and pensions.
With winter approaching and energy bills remaining high, this unclaimed £240 million could provide crucial financial relief for millions of households struggling with the cost of living crisis.
