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For Britain’s beleaguered households, being squeezed financially from all sides, rising energy bills have been one of the most unwelcome extra burdens. The utility firms were slow to cut tariffs last year when prices on the wholesale markets fell, but they have been quick to raise them this year. First out of the traps was Npower, owned by the German energy giant RWE, which in early January increased its electricity prices by 12.7% and its gas bills by 17.2%.
It is all the more galling, therefore, when Npower employees have been using the most underhand methods to trick households into switching to it from other suppliers. The firm has regularly topped the list for customer complaints to Energywatch, the consumer watchdog. That, however, does not tell the full story of the extent to which its sales team, driven by the lure of fat commissions, prey on the vulnerable to get them to switch suppliers.
Our undercover reporter, working as a trainee saleswoman, witnessed members of Npower’s sales team tricking unsuspecting customers into signing contracts while insisting that they were not selling anything. The company’s representatives purported to be from “the electricity board” rather than a single supplier.
Customers with poor English were deliberately targeted and given false information about the charges they would face. A 91-year-old man and another with learning difficulties were identified as likely victims. Only when their carers complained did the firm take action. In response to the investigation by The Sunday Times, Npower announced on Friday that it was suspending the 17-strong sales team involved and would be conducting its own internal inquiry. “We’re genuinely shocked,” said its spokesman. “We’ve shut down the sales team concerned while we carry out a full investigation. We genuinely pride ourselves on the professionalism of our sales team.”
That is not good enough. Did Npower’s management not wonder what drove an increase in the firm’s customer base, with 170,000 new households signing up last year? That is despite the fact that many of its prices are higher than its competitors. Has it taken until now before the firm or its German owners have felt it necessary to look at why it generates so many complaints or ranks so low in the customer satisfaction tables?
The essentials of modern life - power and light - are being sold with all the ethics of pyramid selling scams, dodgy timeshare deals or old-style double-glazing cons. Firms such as Npower trade on a respectability that some of its sales force does not deserve and regularly abuses.
High prices are already bringing Britain’s supposedly competitive domestic energy market into disrepute. These underhand sales tactics drive down its reputation further. Npower needs to review its methods and the sort of people it employs. Other utility firms, which are far from blameless, need to do the same. Cowboy selling has no place in Britain’s energy market.
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Just received a letter from 'Collections Direct - Pre Court Division' We switched from NP back to BG, only to have 5 bills from NP saying money owing on our Gas bill but we are in credit on our Electric account, surely they could transfer the money over to the gas account, NO! we pay first. Very sad
Andrew D, Meisgyn, Cymru
Both me and my friend had serious problems with NPower, too. I had moved out of a flat and, despite NPower's assurance they had taken note of this, I have received a huge bill for the 7 months, when I have not lived at the property in question; I had before had to call the company several times about different issues (it seems its nearly impossible to cancel an NPower account) and I have always had to deal with very unpleasant treatment.
I have also had the (un)pleasure to receive several letters from NPower, most of which suggest I am a criminal, even though all the trouble was caused by the company's organizational problems. I have never received any apologies.
To be honest, it is probably the least respectable and worst organized company I have ever dealt in my life. After switching to another supplier in a new flat, I have not had any problems for a year, the service was nicer and prices MUCH lower.
Chris C, Edinburgh,
I have been reading all the comments posted, and i really feel for you and i apoligise on behalf of (a few) our sales representatives/ customer services that has put you through
an unnecessary difficult time.
But in defence on behalf of Npower i personally know that they follow a very strict code of conduct, and any mis-selling will not be tolerated. I have been working for Npower for the last five and ahalf years, we have ongoing trainning and our audited from the regulators on a regular basis, as well as being tested for our individual licence to sale on a semi-annual basis.
I understand some of your frustrations because i get it (abuse) on the door from customers on a daily basis, and NOT just from Npower representatives but from all suppliers mis-selling. Its sad that there are lots of honest and proffessional sales representatives out there that really do have the best interests of the consumer at hand and a few sales people gives it a bad name for the industry.
Stuart Sutton, Hither Green, London
I'm listening to Radio 4 at 12.10 today on Thu 10 04 2008, it's the 'You & Yours' programme. I've just heard Richard Frost/Prost of npower talking up there recent performance improvements! He was responding to mis-selling practise as reported by the Sunday Times/Times.
I bet he doesn't know about my problem and my problem may be just the tip of another iceberg concerning to npower's poor customer service.
Since Dec. 2007 I have been recieving npower bills for the electricity supply to a nearby newly built propery.
I contacted npower on several occassions to let them know they had made a mistake. The bill didn't pertain to my address, npower are not my energy supplier. I was able to identify the correct property for npower.
Despite their assurances that the matter was in hand; in March I received a very intimidating notice from 'Collections Direct - Pre Court Division' threatening me with disconnection/baliffs and all the attendent costs.
No apology from npower yet!
M A Brown, Driffield, England
NPower forged a contract and I hadn't even seen/heard from one of their reps! They had the nerve to insist that I had signed the contract until it emerged that e former owner of my home had signed it. As she had been dead for about 10 years at that time, they could insist no longer.
karen, beaconsfield,
I read the article in the Sunday Times of 6th April regarding Npower with interest as, only the day before, my son of 21 opened the door to a caller who said he was there to read the electricity meter. I intervened as I noticed the chap was wearing a jacket with an Npower logo (our electricity is via edf). When I refused him entry saying my power was not via Npower, he told me that Npower were merging with edf and taking over my electricity supply, thus he needed access to my meter. Despite his very forceful verbal attempt to persuade me this was right, I told him quite specifically that unless I first received written notication from edf informing me of this, there was no way he was gaining entry to my home. I am a woman of 58 with her wits about her, but I can certainly see how these underhand selling practices could allow Npower operatives to gain the confidence of the old and vulnerable. I feel very strongly that this practice should be outlawed!
Lin Hawkins, London,
Bit of a witch hunt some might say.
Don't get me wrong, shocking behaviour, but put undercover reporters with most sales people who earn such a ridiculous minimum wage but have lucrative commission, and I bet you'll see the greed in their eyes. Yes it;s terrible, yes I'm appalled that the needy have been victimised, but not all Npower sales people behave this way. It's not like the Times have proved that it was the training courses which taught the staff to behave so despicably - in fact that was stated to be the exact opposite. I've met some very professional, courteous sales staff from both npower and other companies, but today I must admit i'm feeling for the honest Npower ones.
I thought the Sunday Times were a bit fairer than this, it's like reading the script for an episode of Watchdog...
Penny Watson, Birmingham, uk
I am afraid it is not just npower. I had a similar experience with an EDF rep approached ime in Sainsbury's recently and told me that I would save a considerable amount of money by transferring from npower to EDF. She too filled in a 'contract' whilst I provided her with some (but not all) ofthe information that she needed. She wanted to sign me up there and then and advised that if I didn't do so I would not benefit from all of the discounts/points etc. I told her that I needed to check the prices and that she could follow up with me later -which she did. By then I had found that transferring to the most recent npower tariff woul give me the best saving. I would have been worse off if I had transferred to EDF. She did not know her facts and was only interested in getting my signature on the contract.
Veronica Carlton, Ashley Market Harborough, England