OVO Energy Customers Compensated Up to £400 for Warm Home Discount Delay

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OVO Energy Customers Compensated Up to £400 for Warm Home Discount Delay

OVO Energy has announced a significant compensation payout of over £2.7 million due to delays in delivering Warm Home Discount (WHD) rebates. The delays affected thousands of vulnerable households, who received their payments 19 months later than expected.

Details of the Compensation Package

Ofgem, the energy regulator, reported that a total of 11,646 customers did not receive their WHD payments by the statutory deadline of March 31, 2024. These payments were only distributed in November 2025, amounting to an extensive delay.

  • Compensation amount: £2,765,200
  • Standard compensation: £150 for impacted customers
  • Additional support for medically vulnerable customers: £150
  • Compensation for each incident of self-disconnection: £100

Prioritizing Vulnerable Customers

Among those affected, 7,726 customers were registered on the Priority Services Register (PSR) due to their vulnerability, with 4,066 classified as medically vulnerable. Ofgem emphasized that these delays had a serious impact, particularly during the coldest winter months.

Regulatory Oversight and Future Actions

Ofgem’s Director of Delivery and Schemes, Neil Lawrence, stated the importance of timely support for vulnerable energy consumers. He expressed disappointment in OVO’s failure to meet service standards but noted that the company has taken steps to rectify the situation.

Lawrence also highlighted Ofgem’s commitment to monitoring energy suppliers closely to ensure adherence to WHD obligations. The regulator oversees the WHD program, which aims to assist low-income households and those vulnerable to cold-related health issues.

Response from OVO Energy

In a statement, OVO acknowledged the delay and expressed regret for the inconvenience caused to affected customers. They confirmed that all impacted individuals have been contacted and will receive their compensation automatically, with no further action needed on their part.

OVO faced delays due to an internal administrative error that they voluntarily reported to Ofgem last year. Following the incident, the company upgraded its systems to prevent such occurrences in the future.

In the prior year, energy suppliers collectively contributed £578.7 million to support low-income households through the WHD scheme, demonstrating a commitment to assisting those in need.

Ofgem has made it clear that it will continue to take strong action against suppliers that fail to meet their obligations, ensuring that customers receive the timely support they are entitled to. This incident serves as a reminder of the critical need for adherence to deadlines, especially for vulnerable populations in need of assistance.