Ofgem to investigate energy mis-selling

Energy regulator Ofgem is launching an investigation into whether four major suppliers have mis-sold products to customers.

EDF Energy, npower, Scottish and Southern Energy and Scottish Power are the subjects of the inquiry, which will aim to determine if they have complied with official regulations.

Ofgem has also set up a hotline for consumers if they feel they have been affected by mis-selling, or can provide any information relating to the investigation.

Andrew Wright, Ofgem's Senior Partner for Markets, explained: "Suppliers have existing obligations to detect and prevent mis-selling and new licence conditions were brought in following our probe to further increase protection for customers."

He added that any company found not to be complying with the regulations will face "strong action".

uSwitch.com has commented on the investigation, saying that it is crucial for people not to end up on energy plans which lead them to be out-of-pocket.

Posted by Martin Ellis