BRITISH Gas has halted the use of warrants to force entry into customers’ homes and fit prepayment meters.
The climbdown came after an eye-opening undercover investigation by the Times claimed third-party firm Arvato Financial Solutions was ignoring some people’s vulnerabilities.
It was reported that British Gas sends debt collectors to "break into" people's homes and "force-fit" pay-as-you-go meters - despite signs children and disabled people were living there.
Warrants give energy firms the legal right to enter homes and install the kit, but these should only be used in exceptional circumstances.
Customers must then top up payments to receive gas, or risk their heating being cut off.
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The undercover reporter worked for debt collecting contractor Arvato Financial Solutions and accompanied agents on the job.
Some of the "vulnerable" customers the Times reporter came across while working at Arvato Financial Solutions included a single father with three young children.
After establishing the property was unoccupied, the reporter observed the agents work with a locksmith to force their way in and install a prepayment meter.
It reported that the locksmith said: "This is the exciting bit. I love this bit."
Agents also fitted a prepayment meter by force at the home of a young mother with an infant baby, the newspaper claimed.
Others who experienced similar shocking treatment, according to materials seen by The Times, include a mother whose daughter is disabled and a woman described as having mobility problems.
While elderly people were allegedly described by some debt collectors as easy targets in the shock undercover reveal.
In its secret investigation, the paper also alleged that Arvato Financial Solutions employees were incentivised with bonuses to fit prepayment meters.
The reporter who was embedded into the company and worked alongside the debt collectors said they could earn points worth almost £4 per job.
One Arvarto debt collector the reporter worked alongside allegedly made some astonishing claims about the warrant process.
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They reportedly said: "Honestly, it's a little bit cheeky. Basically the government says you can't disconnect residential customers so what we do is we install a prepayment meter and then if they don't top up they self-disconnect.
"So we don't actually disconnect them. It's a bit of a laughable loophole.
"That person could tell you that their entire family of 50 were in a horrific aeroplane crash and were the sole survivor and we'd still be saying that's a shame but we are changing your meter.
"As long as you don't do anything silly you won't get in trouble. You'll have to literally like murder someone in this job to get in trouble. You won't get in trouble."
The allegations around Arvato Financial Solutions are unacceptable and we immediately suspended their warrant activity.
Centrica chief exec Chris O'Shea
I am extremely disappointed."
Centrica chief executive officer Chris O'Shea said: "Protecting vulnerable customers is an absolute priority and we have clear processes and policies to ensure we manage customer debt carefully and safely.
"The allegations around our third-party contractor Arvato Financial Solutions are unacceptable and we immediately suspended their warrant activity.
"Having recently reviewed our internal processes to support our prepayment customers as well as creating a new £10 million fund to support those prepayment customers who need help the most.”
He added: “I am extremely disappointed that this has occurred.”
Energy regulator Ofgem has also announced it will launch an urgent investigation following the claims.
A spokesman said: "These are extremely serious allegations from The Times which we will investigate urgently with British Gas and we won't hesitate to take firm enforcement action.
"We recently announced a major market-wide review investigating the rapid growth in prepayment meter installations and potential breaches of licences driving it.
"We are clear that suppliers must work hard to look after their customers at this time, especially those who are vulnerable, and the energy crisis must not be an excuse for unacceptable behaviour towards any customer - particularly those in vulnerable circumstances."
Arvato Financial Solutions has been contacted for comment.
