Credit, Collections & Insolvency News
The Money and Pensions Service (MaPS) has announced the outcome of its debt advice commissioning process for England. MaPS has said that it intends, subject to the conclusion of the mandatory ten-day standstill period, to award contracts to the following organisations to provide national and business debt advice, and administration of debt relief orders (DROs).…
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Most water companies will be hit by financial penalties because of missed targets, water regulator Ofwat has announced. Overall, for those eleven companies, almost £150m is planned to be taken off customers’ bills in the next financial year because of missed targets on areas such as water supply interruptions, pollution incidents and internal sewer flooding.…
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Almost half a million (450,000 people) could be made to pay their energy bills with a prepayment meter by the end of 2022 because they’ve fallen into debt according to new analysis from Citizens Advice. The charity analysed Ofgem data on the number of customers moved to prepayment meters due to their existing debt to…
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The Financial Conduct Authority (FCA) has urged insurers to treat customers fairly amid concerns that the cost of living crisis may prompt households and businesses to cut back on insurance, leaving them without adequate protection – or with none at all. In a letter to Chief Executives in the insurance industry, the FCA has called…
Read moreUrgent reform of Universal Credit (UC) is needed to provide support to vulnerable households, according to responsible lender Creditspring, with nearly a third (29%) of low earners now reliant on savings to pay bills – compared to 21% average for the rest of the UK. The research also indicates that almost a quarter (22%) of…
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Scottish Power and Utilita have been issued a provisional order by Ofgem compelling the energy suppliers to improve how it treats customers in debt. A review conducted by Ofgem into suppliers’ practices found a number of apparent failings around the way it sets debt repayment plans and deals with customers struggling with bills. Provisional Orders…
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Almost two in five households (38%) wrongly believe that the Government’s energy price guarantee means their bills cannot go above £2,500, according to new research from Uswitch.com, the comparison and switching service. The measures announced by Prime Minister Liz Truss will support people with their energy bills, and avoid the nightmare scenario of Ofgem’s price…
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New Prime Minister Liz Truss has announced plans that will limit energy bill rises for all households for two years. The measures will mean that a typical household energy bill will be capped at £2,500 annually until 2024, saving households £1,000 a year on the energy price cap announced for October. Commenting on the announcement…
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Between April and June 2022, the number of households falling behind on their utility bills grew by 14% (295,000), to hit 2.7 million, or one in 10 UK households, according to new figures released by credit reference agency Equifax. On 1st April 2022, Ofgem increased the energy price cap from £1,277 to £1,971. In the…
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A new report from the Resolution Foundation has examined the impact of rising energy bills on low, middle and high-income households this winter, with the price cap forecast to hit £3,600 in October and top £4,500 in January. The report notes typical energy bills will cost around £2,000 more this year than last year –…
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Ofgem has announced the energy price cap will increase to £3,549 per year for dual fuel for an average household from 1st October 2022. The increase is up 80% from the current cap of £1,971, and up 178% from the £1,277 cap in March this year. The price cap increase comes as Ofgem’s CEO warns…
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Shell Energy Retail is to refund and compensate 11,275 prepayment customer accounts it has overcharged on its default tariffs. The total amount of customer detriment to be refunded is £106,000. Refunds will be issued automatically to affected customers. In addition, the supplier will pay £400,000 to Ofgem’s voluntary consumer redress fund and £30,970 in goodwill…
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The minimum wage should be increased to £15 an hour as soon as possible to help millions of low-paid workers struggling amid the cost of living crisis according to the Trades Union Congress (TUC) The current minimum wage for those 23 and over is £9.50 – with lower rates for those who are younger. The…
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