British Gas fined £2.5m over customer complaints

July 27, 2011 | Government & Regulations, North Sea & Western Europe

Energy _prices

Centrica-owned British Gas has been fined £2.5 million by the energy regulator Ofgem over complaint handling processes. Ofgem fined the gas company over breaches in the way it handled customer complaints.

The regulator found the company did not re-open complaints if customers indicated they had not been resolved, failed to provide information about the Energy Ombudsman and complaints relating to micro-businesses.

Sarah Harrison, senior partner for sustainable development at Ofgem, said there were ‘basic failures’ in the company’s complaint handling process.

She said, ‘We warned the industry in March that we would be backing up our plans to reform the retail market with a tough approach to enforcement.

‘This £2.5 million fine against British Gas, and the other £10 million of fines imposed on the energy industry so far this year, sends a clear message to energy companies that they must abide by the rules.’

According to the regulator, British Gas have taken steps to improve its complaint handling systems since it began its investigation in June 2010.