More than half of households are sitting on unused energy account balances after winter
Millions of households across Britain could be owed money from their energy supplier after firms accumulated more than £3billion in customer credit balances.
Ofgem found that the average household paying by fixed direct debit now has around £212 sitting in credit — up slightly from £206 at the same point last year.
More than half of households have emerged from winter with surplus money in their energy accounts, which can either be refunded or left in place to offset future bills.
Ben Gallizzi, an energy expert at Uswitch, said many households would normally expect to have used most of their credit during the colder months.
“More than half of UK households are coming out of the coldest time of year with credit in their energy accounts,” he said.
He advised customers to keep around two months’ worth of payments in their accounts to help manage higher winter costs later in the year.
Energy prices are expected to rise again in July, increasing pressure on budgets.
Mr Gallizzi said households with larger balances may benefit from leaving part of the credit untouched to soften the impact of future price rises.
Energy suppliers operate different policies for returning credit:
Ofgem said suppliers must ensure credit balances are “reasonable” and reflect customers’ actual usage, particularly as households prepare for another expected price rise this summer.