British Broadcasting Corporation

Page last updated at 11:25 GMT, Tuesday, 6 May 2008 12:25 UK

Sales probe nears end at Npower

Npower energy bill
The Ofgem investigation will take months, not weeks

Internal disciplinary hearings by Npower will end on Friday following allegations of mis-selling by some of its staff.

Four people from the company's sales team have already been dismissed during an internal investigation into claims that energy contracts were mis-sold.

Npower suspended 17 members of staff after an undercover reporter said some staff misled potential customers.

Regulator Ofgem has also started its own investigation into the claims.

Rules state that customers must be aware they are entering into a contract.

Ofgem's probe is the first for alleged mis-selling since London Electricity, now part of the EDF group, was fined £2m by the regulator in 2002 after being found guilty of breaching the rules.

Since then, Ofgem - which has powers to impose fines of up to 10% of global turnover - says that complaints about mis-selling have dropped significantly.

Npower said it acted promptly after the claims. All its sales staff have been reminded about the rules and mystery shopper schemes have been set up.


RELATED INTERNET LINKS
The BBC is not responsible for the content of external internet sites


FEATURES, VIEWS, ANALYSIS
How Japan's love hotels are beating the recession
How long will China continue to finance America?
How the US and the UK honour their fallen soldiers

PRODUCTS & SERVICES

Explore the BBC

This page is best viewed in an up-to-date web browser with style sheets (CSS) enabled. While you will be able to view the content of this page in your current browser, you will not be able to get the full visual experience. Please consider upgrading your browser software or enabling style sheets (CSS) if you are able to do so.
Americas Africa Europe Middle East South Asia Asia Pacific