Energy firm to pay out millions in redress scheme – see if you’re eligible

OVO will pay nearly 12,000 customers £2.7 million after it failed to give out Warm Home Discount payments on time.

The rebates should’ve landed by 31 March 2024, but thousands didn’t get theirs until November 2025, a delay of more than 19 months. This meant many vulnerable customers were left without support during the coldest months.

Neil Lawrence, Director of Delivery and Schemes at Ofgem, said: “The Warm Home Discount is a vital source of support for vulnerable energy consumers. Delays of this magnitude can cause real harm, particularly for those experiencing fuel poverty who also have medical needs.

"Suppliers must act swiftly and accurately to deliver these payments on time – where this does not happen, we will intervene and are prepared to take strong action."

Ofgem has now stepped in, and OVO must pay compensation to everyone affected.

Why is OVO paying compensation?

OVO missed the legal deadline to pay the Warm Home Discount (WHD) in March 2024 because of an internal mistake. It later reported the error to Ofgem. After an investigation, the regulator ordered OVO to make things right.

Here are the key numbers:

• 11,646 customers got their rebate late
• 7,726 were on the Priority Services Register (PSR) which is a free service in the UK where vulnerable customers can get extra help and support from their energy companies
• 4,066 of the customers on the PSR were medically vulnerable
• Payments were 19 months late
• Total compensation - £2,765,200

OVO has now updated its systems to stop this happening again.

How much will OVO customers get in compensation?

All affected customers will receive:

• £150 for everyone impacted
• An extra £150 extra for medically vulnerable customers
• An extra £100 for each time a customer self‑disconnected between 31 March and 31 May 2024

Customers don’t need to do anything. OVO has already contacted everyone and is paying compensation automatically.

How to get your OVO Warm Home Discount compensation

OVO will contact you directly if you're owed compensation. They'll pay the compensation you're owed to the same account they held for your Warm Home Discount. Just keep an eye on your bill or bank statement.

Think you're owed OVO compensation but haven't been contacted?

If you think you were due the Warm Home Discount in 2024, but it came late and you haven't heard from OVO, you can:

• contact OVO customer services and ask them to check your WHD status
• have your account number and your WHD eligibility letter handy
• ask them to review whether you were part of the affected group Ofgem refers to in its ruling

It's worth asking as mistakes happen and they may have forgotten to contact you. But bear in mind that only the 11,646 customers identified by OVO and Ofgem are likely to get compensation.

What is the Warm Home Discount again?

The Warm Home Discount is a government scheme run by Ofgem. It gives a one‑off rebate on electricity bills for low‑income households or those vulnerable to the cold. It’s usually paid between October and March each year.

If you're struggling with energy bills, or other household bills, we have a cost of living hub here at thinkmoney, which is packed with resources and advice on topics like energy bills, council tax, water bills, and more general everyday costs.

Key takeaways - OVO compensation scheme

• Nearly 12,000 OVO customers got their Warm Home Discount 19 months late
• OVO now has to pay £2.7 million in compensation
• Most people will get £150, with extra payments for medically vulnerable customers and anyone who had to self‑disconnect
• You don’t need to claim as payments are automatic
• If you think you should’ve been included but haven’t heard a peep, contact OVO and ask them to check.