Consumer attitudes to involuntary prepayment meter installation rule changes
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Ipsos UK and Thinks Insight and Strategy were commissioned by Ofgem to undertake consumer research with GB domestic energy consumers to support a policy review into the practice of involuntary prepayment meter (PPM) installations. Involuntary installations include PPMs installed under warrant and remote switching smart meters to PPM mode (without consent from the customer). This report outlines the findings of that research.
The research consisted of an online survey of 2,095 GB domestic energy consumers conducted between 10 and 14 March 2023, alongside 6 online focus groups with 42 GB domestic energy consumers during the week commencing 6 March 2023. Due to the urgency of the review, fieldwork and data collection needed to be undertaken at speed and therefore a number of compromises had to be made in the research design phase. The limitations have been set out in the report.
This research explored:
- consumers’ views on which groups of vulnerable consumers should be protected from energy debt collection and risk of self-disconnection (through involuntary PPM installations
- consumer attitudes towards cross-subsidisation on bills to protect vulnerable groups from being moved onto PPMs and the trade-offs around this
- consumers’ ‘willingness to pay’ to protect vulnerable consumers from energy debt collection through involuntary PPM installations.
Ofgem has today published a Code of Practice on involuntary PPM installations. The code builds on Ofgem’s existing licence rules and guidance. It proposes strengthened protections for the most vulnerable customers for whom PPM may not be a safe option, alongside standards for those customers who are currently on a PPM or may be moved to a PPM. The findings from this research have helped to inform the development of the code of practice, in particular which groups should be protected, and will continue to inform any proposed future licence changes.