A new scam has been uncovered whereby consumers are offered cheap energy, which ends up costing them twice as much as the price quoted.
It is estimated that almost £2 million has been swindled from customers illegally through the scam, which tricks consumers into believing that they are signing on for a special promotion. Some 85,000 prepaid electricity customers thought to have been affected.
Industry watchdog Consumer Focus and trade body Energy UK have warned customers using prepayment meters to be vigilant so they do not fall prey to criminal gangs thought to be responsible for the scam.
Mike O'Connor, chief executive of Consumer Focus, said the illegal scheme is defrauding customers who are already hard pressed because of the economic climate.
"Consumers must be on the alert for anyone who comes to their doorstep claiming to sell electricity credit," he said.
"Any customer worried that they may have been affected should call their energy supplier or Consumer Direct to seek advice."
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