‘Energy suppliers hold £8bn in overpaid customer funds’

Both households and businesses using fixed direct debits contribute to this sum.

Energy companies are under scrutiny as customers, holding a staggering £8.1 billion in credit, encounter obstacles to reclaiming overpaid funds.

Ofgem‘s data for the first quarter of the year reveals substantial credit balances, primarily from businesses and households using fixed direct debits to cover energy bills.

Consumers facing credit balances in the hundreds or thousands of pounds report frustration, describing the refund process as requiring them to ‘jump through hoops.’

Emily Seymour, Energy Editor at consumer group Which?, said: “Energy firms should be doing everything in their power to support their customers during the cost of living crisis – including refunding customers’ credit when they are asked.”

She added: “If you think you’ve built up too much credit, then you are within your rights to ask for some of it back.”