STRUGGLING households on prepayment meters will get debt payment holidays this winter, Ovo Energy has announced.
The energy giant says customers who are struggling as a result of rising energy prices will be able to access a new £50million customer support package.
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It will be available from October 1, the company announced today.
The energy regulator Ofgem confirmed last week that energy bills will rocket to £3,549 on average per year, piling further mister onto households.
The package will include a debt repayment holiday for all prepayment meter customers and free energy saving products for customers’ homes.
Ovo, which is the UK’s third biggest energy firm, will be offering these services to people who need extra support and meet certain criteria.
It says the funding will be available to help customers with a “real and immediate need”.
The Sun has contacted Ovo to find out the exact criteria for each element of support.
The firm says its customer support team talks to more than 25,000 customers every week, with the most pressing concerns including how to reduce energy bills and confusion over price rises.
It comes as founder of OVO Stephen Fitzpatrick said action was needed now – or the hard-up would go cold and hungry.
The energy firm also published a 10-point plan to help address the national energy crisis.
It includes removing prepayment meter penalties, as customer spend £59 more a year and abolishing the standing charge.
Mr Fitzpatrick said: “The stakes are high but the scale of ambition needs to be higher.
“With the new Prime Minister due to arrive next week, there isn’t a moment to waste to find a way out of this crisis.
“Important and difficult decisions need to be made quickly. Some of these will need to take immediate effect, some in the months and years ahead.”
What support is Ovo offering in its customer support package?
The £50 million support package includes a broad range of measures to support its vulnerable customers.
Ovo said it remains dedicated to its pledge to never disconnect customers who fall behind on their payments.
It also launched a dedicated website where customers can find out more about each element of support.
Direct debit customers
Direct debit customers have access to an online payment support tool, which can be accessed on the Ovo website.
It can help customers to assess the right plan for them.
Ovo said the most vulnerable customers may be able to have their direct debits reduced by up to 15%.
Pay on demand customers
Ovo says customers who pay on receipt of bills can create a bespoke payment plan, lasting for 36 months.
It says this has been increased from 24 months to help ease the bill burden this winter.
Prepayment customers
Ovo is increasing its emergency credit from £5 to £15.
It is also making sure that if customers are switched to a prepayment plan, they will receive regular check ins to make sure they can get through the winter.
Prepayment customers will also be offered a payment holiday from debt repayment.
Customers will also be offered energy saving products for customers’ homes, such as smart thermostats and electric throws – prioritised for those most in need.
You may also be able to claim a free boiler service worth £90, to ensure they are working efficiently this winter.
There will also be dedicated support for our customers in the most financial difficulty from a specialist team
Ovo has also announced a new partnership with the Trussell Trust to support food banks this winter.
It will also continue its partnership with debt charity Stepchange.
What help is available?
From September 2, one million people receiving tax credits will receive the first half of the £650 cost of living payment.
The money will be paid in the same way you usually get your tax credits.
And from September 20, over six million people with disabilities are set to receive £150 to help with the rising cost of living.
From October 1, all UK households are set to receive the £400 energy bills rebate.
The payment will be made up of six discounts between October and March next year.
Households will receive a £66 energy bill discount in October and November and a discount worth £67 in December, January, February and March.
We’ve listed how the leading energy suppliers plan to pay households the discount and are waiting on others to respond.
The way you’ll be paid will depend on how you pay for your energy.
If you’re on a credit meter the discount will come off your bills, but if you’re on a prepayment meter you’ll get a voucher.
Check with your supplier to confirm how you’ll receive the cash.
In November, a £300 one-off “Pensioner Cost of Living Payment” will be paid out to eight million households.
It will be given to those who already get the winter fuel payment – which is worth between £100 and £300 for those over state pension age.
Payments for the £150 Warm Home Discount scheme will likely begin from December.
