Ofgem said on Thursday that Shell Energy Retail had overcharged 11,275 pre-paid customers and that the main energy division would pay a fine of £536,970. The amount includes refunds of £106,000 to customers, £400,000 to Ofgem’s redress fund and £30,970 in goodwill payments to affected consumers. The overcharge occurred between January 2019 and September 2022. “While this issue is a serious matter, given that Shell Energy Retail has self-reported the issue and has taken steps to address the failures, Ofgem has decided not to take formal enforcement action in this case,” said guardian in one statement. The fine comes as UK households face pressure on their finances due to rising energy bills and the cost of living crisis. Ofgem sets the amount UK energy suppliers can charge customers, known as a price cap. The regulator is expected to raise the cap on Friday, with analysts predicting it could rise by more than £1,600 a year to £3,600 per household. Global oil and gas majors recently reported increased profits as fallout from the war in Ukraine pushed prices higher. Last month, Shell posted a record quarterly profit of $11.5 billion, up from the previous record of $9.1 billion in the first quarter.
