What's Happening?
British Gas has come under scrutiny after taking 15 months to issue a refund of over £1,500 to a customer named Beth Kojder. Beth moved out of her one-bedroom flat in south-east London in October 2024 and subsequently requested a final bill and refund from British Gas. Despite the energy ombudsman ruling in her favor in February 2025, British Gas delayed the refund process. The ombudsman, which lacks legal enforcement power, had instructed British Gas to resolve the issue, but the company only complied days before Beth's case was set to be heard in a small claims court. British Gas has since apologized and stated it is implementing the ombudsman's remedy.
Why It's Important?
This incident highlights significant issues within the energy sector regarding customer
service and compliance with ombudsman rulings. The delay in refunding Beth Kojder underscores the challenges consumers face when dealing with large utility companies. The energy ombudsman, which received 93,000 complaints in 2024, often rules in favor of consumers, but lacks the authority to enforce its decisions. This case has prompted the Department for Energy to consider strengthening the ombudsman's powers to ensure quicker compliance by energy suppliers. The situation reflects broader concerns about consumer rights and corporate accountability in the energy industry.
What's Next?
The Department for Energy is exploring ways to enhance the authority of the energy ombudsman to ensure that decisions are implemented more swiftly. This could involve legislative changes to grant the ombudsman statutory powers, thereby compelling energy companies to comply with rulings in a timely manner. Such reforms could improve consumer confidence in the dispute resolution process and hold energy suppliers more accountable for their actions.
