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Ovo Energy fined £10m: what it means for your bill

Ovo Energy fined £10m: what it means for your bill

Ofgem has ordered Ovo Energy to pay customers a share of £10 million after an investigation found the supplier broke rules on customer service and billing. The penalty, one of the largest levied against a domestic supplier, covers failures between 2020 and 2023 — including overcharging, delayed refunds, and poor complaint handling.

As reported by the Northwich Guardian, the ruling follows a year-long probe by the regulator, which found Ovo had not done enough to protect customers during the energy crisis. The £10 million will be returned to households directly, rather than paid as a fine to the Treasury.

Who qualifies — and how to claim

Ofgem has not yet published a full list of affected customers, but the investigation focused on households that were overcharged or faced long delays in getting refunds after switching supplier. If you were an Ovo customer between 2020 and 2023 and experienced billing errors or poor complaint handling, you may be owed money.

Ovo has set up a dedicated webpage for claims. Households should check their online account or contact Ovo’s customer service team directly. The Energy Ombudsman can also help if you have an unresolved complaint from that period.

What this means for your energy bill

The £10 million payout is separate from the price cap, which currently stands at £1,928 a year for a typical household (as of October 2024). The compensation will not appear as a discount on your bill but will be paid directly to affected customers, usually by cheque or bank transfer.

For most Ovo customers not directly affected, the ruling is a reminder that suppliers must treat customers fairly — and that Ofgem is willing to enforce the rules. The regulator has also launched investigations into other suppliers, including British Gas and EDF, over similar issues.

What you should do now

If you are an Ovo customer, check your recent bills and any past correspondence about refunds or complaints. If you think you were overcharged, contact Ovo and ask for a review. If you are unhappy with the response, escalate to the Energy Ombudsman.

For all households, the ruling is a signal that the energy market is being held to higher standards. If you have experienced poor service from any supplier, you can switch to a different provider without penalty. Ofgem’s website lists current supplier performance statistics, including complaint volumes and response times.

The £10 million payout is a significant step, but it only covers a fraction of the harm caused by poor supplier behaviour. Homeowners should remain vigilant, keep records of all communication with their energy company, and not hesitate to complain if they are treated unfairly.

Frequently Asked Questions

Ofgem has not yet named all affected customers, but if you were an Ovo customer between 2020 and 2023 and experienced billing errors, delayed refunds, or poor complaint handling, you may be eligible. Check your online account or contact Ovo directly. The Energy Ombudsman can also help if you have an unresolved complaint from that period.

No. The compensation will be paid directly to affected customers, usually by cheque or bank transfer, not as a discount on future bills. If you are owed money, Ovo should contact you, but you can also proactively check your account or call them.

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