Energy firms will stop forcefully installing prepayment meters in the homes of vulnerable customers, the government has said.
It follows an investigation by The Times which showed debt collectors breaking into vulnerable people’s properties to carry out the work.
Downing Street said the revelation was “deeply shocking” and hauled energy bosses in for a meeting.
Regulator Ofgem has since launched an investigation, and ministers have demanded better practices from energy suppliers.
The Department for Business, Energy and Industrial Strategy said it has also asked all suppliers to set out how they are supporting their customers, how many warrants to forcefully enter people’s homes they have applied for, and how they will make up for any wrongdoing.
In an interview on LBC which is set to be broadcast on Friday evening, Akshay Kaul, a director at Ofgem, said: “I think if prepayment meters have been incorrectly installed, that is not in compliance with the rules, and that is what the investigation ultimately concludes, then yes, then consumers have a right for them to be uninstalled, if that is what they wish.
“They have a right to seek compensation, and that is what we will be asking any suppliers that are in that situation to do.”
Energy security secretary Grant Shapps said: “All suppliers are now halting forced installations, magistrates are no longer signing off warrant applications and Ofgem are upping their game when it comes to their reviews.
“But I am angered by the fact some have so freely moved vulnerable customers on to prepayment meters, without a proper plan to take remedial action where there has been a breach of the rules.
“So, I have only received half the picture as it still doesn’t include enough action to offer redress to those who have been so appallingly treated.”