ENERGY giant E.ON has been ordered to repay £1.4 million to around 94,000 customers who had been overcharged following price rises.
The company has also agreed to pay £300,000 to a consumer fund which will be run in conjunction with Age UK.
Ofgem says the company failed to give customers 30 days notice of a price rise and charged interest on the amount they were charged.
Ofgem’s Sarah Harrison said yesterday : “Today’s announcement that E.ON will compensate customers is a positive step to put right their mistakes and is welcome.”
Deputy first minister Nicola Sturgeon said she would continue to push for action to ensure that energy companies compensate consumers who suffer when things go wrong.
Figures reveal the cost of heating a home is now 63 per cent higher than five years ago.