Energy Firms' £2Billion Cash Stash

Power giants hoard huge amounts of customers' money from bill overpayments.

- Dan Vevers

ENERGY firms are hoarding £2billion of customers' cash after direct debits were over-inflated.

One customer claimed he ended up £5000 in credit with his supplier.

The revelations come after many users' direct debits more than doubled in a year.

Companies were accused of using the cash as a cheap source of credit on which they pay no interest.

Christine Farnish, a former Ofgem board member, said: "Energy firms use advance payments to fund their own businesses."

POWER FIRMS HOARD £2BN OF OUR MONEY

Wealthy firms use extra cash as finance then hang on to it as long as possible.

ENERGY firms are hoarding nearly £2billion in customers' cash from rip-off overpayments, shock figures today reveal.

Gas and electricity giants EDF, Centrica and Shell are among dozens of firms accused of using inflated direct debits as a cheap source of finance during the cost-of-living crisis.

Blair Stewart, 37, from Glasgow, told the Record how he was overcharged for 12 years until he was a staggering £5000 in credit.

He said: "They have actually raised my direct debits over the years. I don't know how that was allowed to happen. There are hundreds of people in the same position as me."

Christine Farnish, a former board member at Ofgem, said: "Energy firms are allowed to put their metaphorical hand into a customer's pocket and use advance customer payments to fund their own businesses.