Warning over aggressive debt collections after energy firm failures
Eleven energy suppliers have failed since January 2018, and as administrators don’t have to follow the same rules as energy suppliers when dealing with customers in debt, they can aggressively pursue debts and demand customers pay large sums at short notice. Citizens Advice says it’s seen lots of examples of people who’ve been affected by this.
The charity says it’s helped over 1,000 people with debt issues related to failed suppliers since January 2018, and says at least 32,000 customers in debt have been left vulnerable to potentially aggressive debt collection from administrators.
It also estimates the collapses have left behind £172 million in unpaid industry bills, which is likely to be paid by consumers through their energy bills.