SSE to pay compensation to 400,000 customers
December 23, 2011 at 4:26 pm
The energy company SSE is to pay compensation to up to 400,000 of its customers in a process which could end up costing the energy giant up to £5 million.
The move has come after the company was found guilty by Guildford Crown Court of mis-selling to customers on their doorsteps. In cases where those customers have suffered a loss as a result, the company will now be offering compensation.
SSE is one of the biggest energy firms in the UK and is one of the so called ‘Big Six’ energy suppliers.
The problems began when its sales force started using dubious sales tactics to sell energy products to new customers on their doorsteps; after it was found guilty of this it stopped the practice.
It was the first of the big power companies to stop this practice, although it was soon followed by British Gas.
Now, anyone who was sold an energy contract by SSE after October 2009 could receive compensation. October 2009 was when Ofgem made energy suppliers ensure that their sales were carried out fairly and professionally.
Consumer Focus welcomed the decision and said that it will now be easier for customers as they won’t have to go through the Energy Ombudsman.
The compensation process is to start in January when letters will be sent to all customers who bought energy after October 2009. The letters will ask them to contact SSE if they think they have suffered any loss as a result of purchasing the energy contract. A dedicated helpline will also be set up.
