“The world is burning and the UK Government is helping the arsonists pay for the fuel”
Climate campaigners have reacted with outrage at the news that Norwegian oil giant Equinor has today announced pre-tax profits of £5.8 billion (US$7.5 billion) in JST THE LAST THREE MONTHS.
Campaigners said that with climate-induced fires sweeping Greece “the UK Government is helping the arsonists pay for the fuel” with a massive tax break for Equinor to develop a new oil field.
Equinor’s flagship project in the UK, the controversial Rosebank oil field, is in line to pocket a tax break of £3.75 billion from the UK Government to incentivise its development. This deliberate loophole in the Windfall Tax means that 91% of the cost of developing the 500 million barrel field will be covered by the public purse, despite Equinor’s massive profits and the fact that 80% of Rosebank’s oil will be exported.
Campaigners in Aberdeen yesterday delivered a giant ‘cheque’ to the Equinor offices to highlight the injustice of the tax break.
Last year, Equinor broke records with pre-tax yearly profits of £62 billion (US$74.9billion), benefiting from increased prices for oil and gas due to the war in Ukraine. Meanwhile, energy bills for consumers skyrocketed and millions were pushed into fuel poverty.
There has been widespread opposition to the Rosebank field, with public protests across the UK, politicians including SNP MPs Tommy Sheppard and Mhairi Black and the head of the UK Government’s own climate advisory committee, Lord Deben, speaking out against the project.
A decision on Rosebank is rumoured to be scheduled for after the summer recess, following delays due to concerns that the project would not meet net zero commitments under the North Sea Transition Deal.
Friends of the Earth Scotland’s oil and gas campaigner Freya Aitchison said: “These outrageous profits every quarter serve as a stark reminder that companies like Equinor have no intention of changing their ways.
“Fossil fuel giants are simply making too much money from upholding the climate-destroying status quo. Adding insult to injury is the massive tax break Equinor will receive should they go ahead with Rosebank, showing how the UK Government would rather hand out public money than say no to big polluters.
“Grant Shapps and the Department for Energy Security and Net Zero are blatantly ignoring the devastating impacts of climate breakdown, exemplified most recently in the terrifying wildfires in Greece.
“By cheerfully inviting oil companies to drill for yet more polluting fossil fuels, they are effectively denying the reality of the climate crisis. The world is burning and the UK Government is helping the arsonists pay for the fuel.
“The Scottish Government can no longer sit on the fence on this climate denial and must speak out against Rosebank and all other new fossil fuel projects. We need a just transition to clean, affordable energy now.”
BREAKING NEWS: British Gas parent company Centrica has just posted it’s highest ever profits – £969 million in first six months of this year. Shell, too, has just posted eye-watering profits.
Over 94,000 prepayment meters were forcibly installed in homes under warrant last year without customer consent – on average over 7,500 meters a month.
After calling on suppliers to stop forcibly installing prepayment meters, the Energy Security Secretary Grant Shapps has now revealed the most overzealous suppliers, as part of a crackdown on mistreatment of vulnerable customers in the use of these meters.
Leading the charge with the highest number of prepayment meters force-fitted last year are British Gas, Scottish Power and OVO Energy, making up 70% of all forced installations with a total of 66,187 devices fitted under warrant.
Of these, Scottish Power tops the list as the worst offender when taking into account their customer base – force fitting over 24,300 in their customer’s homes in 2022.
Mr Shapps has today doubled down on his call for any mistreatment of customers to be rectified, while again urging suppliers to help the households on traditional prepayment metres access the 2.1 million vouchers yet to be claimed under the government’s Energy Bills Support Scheme.
Energy Security Secretary Grant Shapps said: “Today’s figures give a clear and horrifying picture of just how widespread the forced installation of prepayment meters had become, with last year seeing an average of over 7,500 force-fitted a month.
“Prepayment meters are right for some people, so I do not want to ban them outright, but I do have concerns that companies have not been treating their customers fairly, over an already difficult winter during which the government has tried to help families by paying around half the energy bill of the average household.
After my calls for change, I’m pleased that suppliers have made their actions public and agreed to put a stop to forcing prepayment onto vulnerable customers for good – but this cannot happen again.
“I will be watching Ofgem’s ongoing review closely so customers get the support they need – and those vulnerable consumers who have wrongly suffered forced installations get the justice they deserve in the form of redress.”
Minister for Energy Consumers and Affordability Amanda Solloway said: “Another increase in the number of energy bill support vouchers redeemed by customers is great news, but I urge those that haven’t done so to use them as soon as possible – and suppliers must continue to do everything they can to make sure this happens.
“We will not stand for the mistreatment of vulnerable customers who have been forced onto prepayment meters. I welcome the move from Ofgem to make it easier for customers to report cases but this can’t be a one off, and suppliers must now offer redress to those they have wronged.”
Prepayment meters allow customers to pay for gas and electricity on a pay-as-you-go basis and serve an important function by helping the avoidance of debt and court action.
However, an intervention from the Energy Security Secretary last month brought the practise to a firm halt, after evidence came to light of suppliers in forcing these meters on vulnerable households.
Mr Shapps demanded transparency from the sector over the number of forced installation warrants they had used, following a huge spike in applications as households grappled with high energy costs.
Lord Justice Edis issued directions for magistrates’ courts to stop all warrants that allow companies to force-fit these meters, alongside the government’s crackdown unacceptable behaviour from suppliers.
This move follows the government’s unprecedented support to help families with their bills this winter, including households on prepayment meters.
Latest figures published today show 7.6 million Energy Bills Support Scheme vouchers have now been redeemed by households that use prepayment meters across Great Britain, as of February – saving them up to £400 on their energy costs.
Since the scheme launched the number of households redeeming their vouchers has steadily climbed with 78% used so far – up from 76% in January. Suppliers with the highest redemption levels include Shell Energy, E and Octopus Energy. However, those with the most vouchers still outstanding, with nearly 400,000 yet to be redeemed include Scottish Power, OVO Electricity and British Gas.
Customers will also benefit from new protections, announced in last week’s Budget, that will see households on prepayment meters pay no more than other customers for their energy.
The recent action from the government led the regulator, Ofgem, to launch a review into the use of prepayment meters in the sector. Companies have been instructed to revisit their past cases and offer redress, such as compensation, to customers where these meters were wrongly installed and regulations have not been followed.
Just last week, Ofgem also extended the ban on forced installations of prepayment meters until a new code of practice is agreed by energy companies, after British Gas was found to have broken into homes to fit the devices.
The government continues to work with the sector, as well as consumer groups, charities and local leaders to reach eligible customers with unused vouchers that have not yet benefitted from the Energy Bill Support Scheme.
This includes ongoing information campaigns across community radio, social media, national magazine titles and roaming advert vans that have been popping up in towns and cities across the country.
Business Secretary gives energy suppliers deadline to urgently report back on remedial action for customers who faced wrongful installations
This follows damning reports earlier this week highlighting what appear to be breaches of rules and regulations to protect vulnerable households
Energy regulator Ofgem also asked to toughen up their investigations after they failed to find serious failings by British Gas
Business and Energy Secretary Grant Shapps has today given energy bosses a deadline of Tuesday to report back to him on what remedial action – such as providing compensation – they plan to take should they have wrongfully installed prepayment meters in the homes of vulnerable customers.
It comes in the wake of British Gas admitting fault as a result of the Times investigation which showed even those with small children or medical conditions have not been shown forbearance, with reports of debt collectors breaking into homes to install the equipment.
But these findings by The Times newspaper follow several reviews by Ofgem of the services provided by energy suppliers, which have not identified this unacceptable behaviour – or other significant shortcomings – and have in some cases even given companies a clean bill of health.
Therefore the Business Secretary has today told Ofgem to toughen up on energy suppliers and investigate the customers’ experience of how their supplier is performing.
He called on the regulator to set up a new customer reporting system for households to pass on their own stories of how they are being treated – especially those who are vulnerable – and not just rely on energy firm bosses to share information with their regulator.
Business and Energy Secretary Grant Shapps said: “ I am appalled that vulnerable customers struggling with their energy bills have had their homes invaded and prepayment meters installed when there is a clear duty on suppliers to provide them with support. They need to refocus their efforts on their consumers, the British public, who are at the receiving end of this abhorrent behaviour.
“ I’m also concerned the regulator is too easily having the wool pulled over their eyes by taking at face value what energy companies are telling them. They need to also listen to customers to make sure this treatment of vulnerable consumers doesn’t happen again.”
News reports across the country have highlighted examples of the forced installation of prepayment meters in the homes of those who are struggling to pay their bills.
The regulator has also been asked to toughen up their reviews, going beyond the company headquarters to find out what is really happening in people’s homes by hearing from them directly and engaging more with charities and other groups that represent consumers.
Currently, energy suppliers are required to provide Ofgem with information to demonstrate how they comply with the rules on supporting vulnerable consumers, on customers struggling to pay and on the fitting of prepayment meters.
The Business Secretary wants to see the voices of consumers and those who champion their needs heard when deciding which energy companies are meeting expectations – with a customer reporting hotline being just one example we would want the regulator to consider.
On Thursday night a number of suppliers announced they would suspend forced installations after being pushed by Ofgem to pause the practice while they reassure the regulator they’re complying with the rules.
However, just over a week ago the Business Secretary launched a crackdown on the mistreatment of energy users by suppliers, already asking them to voluntarily commit to stopping this practice. He also demanded they share the number of warrants they’ve applied for in recent months and plans to publish the findings.
Earlier this week the Energy and Climate Minister also met British Gas CEO Chris O’Shea and expressed his horror at recent reports. He made it clear this kind of behaviour is unacceptable, especially from such a key and longstanding British company.
He urged Mr O’Shea to take urgent steps to repair the damage done to British Gas’ reputation and urgently come back to him outlining the role he will personally take to fix these cultural issues.
The British Gas boss was also told by the Minister that vulnerable, mistreated customers need to be identified and redress provided. He will be monitoring matters extremely closely to make sure this happens.
Last month the Business Secretary and Energy and Climate Minister called energy suppliers to voluntarily stop force fitting prepayment meters:
An Ofgem spokesperson said: “These are extremely serious allegations from The Times. We are launching an urgent investigation into British Gas and we won’t hesitate to take firm enforcement action.
“It is unacceptable for any supplier to impose forced installations on vulnerable customers struggling to pay their bills before all other options have been exhausted and without carrying out thorough checks to ensure it is safe and practicable to do so.
“We have launched a major market-wide review investigating the rapid growth in prepayment meter installations and potential breaches of licences driving it.
“We are clear that suppliers must work hard to look after their customers at this time, especially those who are vulnerable. The energy crisis is no excuse for unacceptable behaviour towards any customer, particularly those in vulnerable circumstances.”
FORCE-FITTING payment meters in the home of vulnerable people is “shocking” and unnecessary, according to a leading energy expert.
Energy UK’s former CEO Angela Knight was commenting on the results of an investigation by the Times newspaper which found that British Gas was forcing people to have pre-payment meters.
It found that debt collectors working for the firm were breaking into people’s homes to fit the meters.
Ms Knight told GB News: “I do think it’s a shocking story and I think it’s a wake up call not just to [British Gas owner] Centrica, but to all the energy companies.
“Firstly, there are people who say, I’m not going to pay, they can afford to pay, but they won’t pay…
“That’s what this process is supposed to be for, the process being that the energy company applies to the court for a court order in order to put in a pre-paid meter.
“So the individuals who say they won’t pay, but as I say, they can afford to, they are getting a pre-paid meter, so they’re not cut off.”
In a discussion with Bev Turner, she said: “But then, you’ve got a lot of people who fit into that vulnerable category and that’s people like the elderly, or people who are disabled, it’s those with very young children.
“And if they have hit a difficulty with being able to pay for their energy, and a lot of people are finding it difficult at the moment, then a pre-paid meter is not the answer.
“They need to have an arrangement with their energy company and importantly, the energy company has a responsibility to find out first if somebody who isn’t paying falls into one of those special categories, and vulnerable categories.
“And if they do, then they shouldn’t be applying to the courts, what they should be doing is making another arrangement.”
Ms Knight added: “Now what Centrica said is they’ve stopped all of their applications right now and good on them.
“Clearly, they’re going to have to sort out the vulnerable from the not vulnerable, but they have not got a few months to do it, and then they can refresh how they approach this problem.
“And I think that what The Times’ sting has done, and what the Centrica announcement means, is that all other energy companies pay exactly the same amount of attention first, before applying for that court order.”
Commenting on the decision by Ofgem, which has ordered British Gas to stop force-fitting prepayment meters, the National Association of Property Buyers said: “The sorry story of utility providers that was uncovered by The Times newspaper investigation highlights the potential injustices faced by many people in financial difficulty.
“The NAPB welcomes the fact that the company concerned has held their hands up and that Ofgem will be taking action to address the issue.
Spokesman Jonathan Rolande continued: “There is still a question to answer though. How, as a society do we deal with a situation where a householder has missed numerous payments and received letters and calls offering help, all to no avail?
“With heat, light and water being such basic human essentials, at what point are the companies allowed to disconnect? If allowed to continue unchallenged the lost revenue would inevitably be passed on to other paying customers – would that be fair? The providers are companies, should they carry the cost of unpaid bills alone?
“But the case in favour of the utility providers is seriously undermined by the huge profits made and massive salaries paid to executives – their pay is often counted in millions and there is no public sympathy for their cause.
“For now it is a relief that the intrusive practises of forced or tricked entry will be gone, but there are business and moral dilemmas for the companies, government and the public that will need to be addressed to ensure that the burden of unpaid bills doesn’t fall on those who are struggling but paying.”
Fuel poverty charity reveals 45 people per day die from cold homes
Last month, ONS releases figures showing 13,400 more deaths occurred in the winter period (December 2021 to March 2022) compared with the average of the non-winter months.
Fuel poverty charity National Energy Action says that based on modelling by the World Health Organisation, cold homes caused 4,020 excess winter deaths last year in England and Wales. That’s 45 people per day in winter months.
Despite the new figures being the second lowest for decades, the charity warns they only cover last winter, when energy bills were half the amount that they are now.
The report coincides with the full publication of National Energy Action’s Fuel Poverty Monitor, which finds that households that have a low income and have a medical condition or use powered medical equipment at home are most at risk of the worst impacts of living in a cold home.
They say these households have not been provided with adequate support during the Energy Crisis and are fearful next year’s winter mortality figures will be much worse.
The Office of National Statistics (ONS) has released figures showing there were 13,400 more deaths in England and Wales in the winter period (December 2021 to March 2022) compared with the average of the non-winter months.
Fuel poverty charity National Energy Action has said that up to 4,020 of these deaths were preventable and were caused by the impact of cold homes. That’s 45 people dying per day in the winter months last year – 42 in England and three in Wales. However, because of the time lag of the data, the true picture for this winter is likely to be much worse.
Last October 4.5 million UK homes were in fuel poverty, according to the charity’s figures, now – even with Government support, it’s 6.7 million UK households. The average annual bill has almost doubled in a year – from £1,271 to £2,500. The charity warns this means next year’s ONS figures are likely to be much worse.
Adam Scorer, chief executive of National Energy Action (NEA), said: “Every year we see the consequences of failing to keep the most vulnerable people safe and warm during the coldest, winter months.
“Today’s figures show a significant drop in premature winter deaths, partly because of a higher number of deaths outside winter months, but it’s still 45 people per day in the winter months. The truth is that we should not accept any death directly caused by a cold, unsafe home.
“Next year, these statistics will expose the full impact of today’s energy crisis. The toxic combination of extraordinary heating costs, stagnant or falling incomes, and our notoriously poor, unhealthy housing stock will take a heavier toll with lives blighted by debt, ill health, and worse.
“Milder weather may not save us, or thousands of vulnerable households this winter. We must do all we can now to prevent a public health emergency and further needless deaths. Fuel poverty needs long term solutions, but this winter we need the UK Government to give more support and stop millions falling through the cracks with the most awful consequences.”
The ONS figures cover the same period as National Energy Action’s Fuel Poverty Monitor, which is released in full on Thursday 19 January. The Executive Summary was released on Tuesday 17 January.
The Fuel Poverty Monitor shows that households falling into multiple intersecting categories of vulnerability are being disproportionately affected by the Energy Crisis.
While all low-income households are feeling a significant strain during the crisis, impacts go beyond those receiving means-tested benefits, and are felt most acutely by those households that have intersecting categories of vulnerability. These households are not caught by traditional identification measures and new ways of finding vulnerable households are required.
In particular, those households that have both a low income and have a medical condition or in need of powered medical equipment at home are most at risk of the worst impacts of living in a cold home. They have not been provided with adequate support.
Previous research has consistently demonstrated the links between cold homes and health conditions, especially musculoskeletal, cardiovascular, and respiratory conditions, as well as conditions related to mental ill health.
And, a recent systematic review of evidence from across the globe concluded that fuel poverty is associated with “poorer general health, poorer mental health, poorer respiratory health, more and worse controlled chronic conditions, higher mortality, higher use of health services and higher exposure to health risks, with worse results for vulnerable groups across dimensions of inequality.”
Moreover, cold homes are linked to the development and/or exacerbation of cold-related illnesses, especially in winter, and contribute directly to excess winter deaths, hospitalisations, and wider pressure on health and social care services.
200 workers sacked in national ‘Fire and Rehire’ dispute
British Gas doesn’t give a toss for either customers or staff – and that is shown by the mass sackings of engineers who are badly needed by customers to clear huge backlog, says the GMB trade union.
British Gas went ahead with yesterday’s mass sacking of striking gas engineers who refused to submit to corporate bullying to accept a 15% cut in pay rates and other imposed changes in terms and conditions.
This coincides with British Gas suspending the sale of boiler insurance cover amid scenes of ‘van graveyards’ from the vans returned by the sacked gas engineers.
This mass sackings were enacted as gas engineers took part on the 43rd day of strike action in the long-running, deadlocked and increasingly bitter dispute.
British Gas announced in July last year that staff in the Field staff bargaining group who refused to accept imposed 15% cuts in pay rates and other changes would be sacked.
GMB says the company bullied the rest of the staff in the Field staff bargaining group to sign terms they had overwhelmingly rejected and still don’t accept.
These GMB members at British Gas have already taken 42 days of strike action against the imposition of the 15% cuts in pay rates and other changes via “fire and rehire” notices.
In addition, a national official “lockout” dispute between British Gas and GMB will become effective from 14 April and will include further strike action and action short of a strike.
The strikes have led to a backlog of millions of customers waiting for planned service visits and hundreds of thousands having to wait for emergency repairs.
British Gas has suspended sale of the standard boiler service insurance.
Justin Bowden, GMB Regional Secretary said:“That British Gas doesn’t give a toss for either customers or staff is shown by the mass sackings of engineers it needs so badly for customer services that it has suspended the sale of boiler insurance cover.
“The ‘graveyards of vans’ returned by the sacked gas engineers shows this.
“These sacked gas engineers are badly needed by customers to clear the huge backlog of missed planned annual service visits and repairs.
“There is sadly nothing in law to stop corporate bullying by companies of their own staff to sign terms they don’t accept and sacking those who don’t submit to this bullying.
“But GMB members won’t accept the outcome of the bullying. This is why we are staging the 43rd day of strike action today.
“I have news for Mr O’Shea. This is not the end of the dispute. As well as being in dispute with his own staff he is now in dispute with the national union GMB.
“This is why this dispute will continue and become an official national lockout dispute. There will be more strikes and action short of strikes.
“The British Gas leadership disaster reaches its low point today (April 14) with mass sackings of British Gas Engineers – in the only consistently profitable part of the company – by a management team too stupid to see the true value of a uniquely skilled and loyal workforce.
“With hundreds of thousands waiting in the backlog for service, customers have been treated as collateral and so, it seems, too will staff – as Mr O’Shea prepares to go down in history as the first major CEO to mass sack his highly skilled and qualified engineers.
“They are his most valuable asset. He will be universally condemned by politicians and public alike for doing so.
“The arrogant gamble has been lost. Any fool can start a war and, it seems, ruin a good business.
“History will not be kind to Mr O’Shea or the Centrica Board who failed to rein in him and his out-of-control leadership team.”
A statement posted on the British Gas website yesterday said: “Unfortunately, due to strike action by some engineers on Wednesday the 14th of April, we’re only able to offer a very limited emergency service.
“During this time we’ll be prioritising our most vulnerable customers, but we’ll do our best to help everyone as quickly as we can. Thanks for understanding – we’re so sorry for any inconvenience this may cause you.”
A Centrica spokesperson said: “There is a job for everyone at the end of this process. We are changing the way we work to give our customers the service they want and protect the future of our company and 20,000 UK jobs. Today marks the end of the period for our employees to sign new contracts.
“These are highly competitive, and our changes are reasonable. Around 98% of the entire company has accepted and we hope the remaining, also sign and choose to stay. We have not cut base pay or changed our generous final salary pensions. Our gas service engineers remain some of the best paid in the sector, earning £40,000 a year minimum.
“While change is difficult, reversing our decline which has seen us lose over three million customers, cut over 15,000 jobs and seen profits halved over the last 10 years is necessary. The changes will also unlock our ability to grow jobs and hire 1000 green apprentices over the next two years.’’
Over a thousand British Gas workers across Scotland will walk out again tomorrow (Friday 19 March) for strike days thirty-five, thirty-six, thirty-seven and thirty-eight, as the fight continues against their CEO Chris O’Shea’s shameful ‘fire and rehire’ imposition.
Engineers will walk out from 00.01 hours on Friday 19 March until 21.59 hours on Monday 22 March, and again on Friday 26 March to Monday 29 March, taking the total number of strike days in the dispute to forty-two.
Socially distanced picket lines will be in operation tomorrow morning at British Gas facilities in Edinburgh and Uddingston.
The latest wave of strikes was confirmed after workers across the UK voted by a resounding majority of four-to-one against proposals tabled through ACAS over the future of their terms and conditions, with Centrica refusing to lift the ‘fire and rehire’ imposition.
British Gas are set to issue dismissal notices on Monday 29 March to staff who refuse to accept the ‘fire and rehire’ imposition.
After thirty-four days of previous strike action, GMB understands that more than 250,000 homes across the UK are in a backlog for repairs and 350,000 planned annual service visits have been axed.
GMB Scotland Senior Organiser Hazel Nolan said:“British Gas is set to sack key workers if they do not accept Chris O’Shea’s ‘fire and rehire’ imposition – it’s a shameful way for any employer to behave let alone a great British industrial institution.
“Left unchallenged it also sets a dangerous precedent, where even the biggest employers can exploit a public health crisis to attack workers’ rights, and their terms and conditions of employment. That’s not modernisation, it’s Dickensian.
“But the message from our determined and dignified members is loud and clear: Stop the fire and rehire in British Gas, and let’s return to proper negotiations over the future of this business and its workers.”
British Gas workers are burning the new contracts to show graphically their defiance of the imposition of hourly pay 15% below the agreed rate, says GMB Union.
Day six of the British Gas strike was ‘rock solid’ as an estimated 7,000 workers downed tools over the company’s plan to sack them all
Meanwhile angry engineers across the country are set to burn new contracts – which they have been told they must sign, or be fired in March:
In a show of defiance, engineers across the UK will burn new contracts tomorrow (Friday 22 January) at 10am:
London: Havering Town Hall, Main Road, RM1 3BB
Edinburgh: Scottish Gas call centre, 1 Waterfront Avenue, Edinburgh EH5 1SG
Cardiff: British Gas Customer Call Office, 4 Callaghan Square, Tresillian Way, Cardiff, CF10 5BT
Stockport: British Gas Office, New Bridge Lane, Stockport, SK1 2HQ
Members across the country – picketing at their vans due to the pandemic – will also be filming and photographing their contracts being burned at the same time.
Engineers and other workers will also down tools on January 22, 25, 29, 30, 31 and February 1 in anger as profitable British Gas provokes further disruption for its customers.
British Gas engineers and staff voted overwhelmingly by 89% to strike after boss of parent company Centrica Chris O’Shea threatened to fire them all if they didn’t “accept” cuts to pay and terms and conditions.
The strikes provoked by the company have caused massive disruption already – with an estimated 100,000 homes waiting for service across the country.
British Gas parent company Centrica reported an operating profit (before exceptional items and tax) of £901 million in 2019.
The operating profitability of its UK home heating business rose by 27 per cent in the first six months of 2020.
Justin Bowden, GMB National Secretary, said: “GMB members at British Gas are burning the new contracts to show graphically their defiance of the imposition of hourly pay 15% below the agreed rate – as well as other changes.
“This is yet another attempt get through to Mr O’Shea that staff accepting cuts of this magnitude in a profitable company is wishful thinking in the extreme.
“British Gas has provoked disruption to more than 100,000 households already in the backlog for services. That number will grow due to the seven new strike dates.
“The company needs to put customers and staff first by abandoning wishful thinking and taking ‘fire and rehire’ off the table.
Over 1,000 British Gas workers in Scotland will begin five days of strikes from 00.01 hours this morning (Thursday 7 January) as part of the biggest dispute seen in the sector for over forty years.
In a direct response to the ‘fire and rehire’ plan for British Gas operations laid-out by Centrica Plc Group’s Chief Executive Officer Chris O’Shea, over 10,000 GMB members across the UK four nations will take part in the action.
O’Shea has refused to accept efforts by GMB to negotiate a way forward for the business. Instead, after months of talks, workers have been told to accept the slashing of wages and conditions, or face being sacked.
All British Gas divisions and services, including Service & Repair, Electrical Services, Smart Metering, Installations, and Customer Services will be impacted.
GMB Scotland Senior Organiser for Commercial Services Hazel Nolan, blasted Centrica’s executives for their role in creating their own company crisis and exploiting workers during the COVID-19 pandemic:
“Today is CEO pay day, Chris O’Shea will take home a pre-bonus wage of £775,000, and Centrica have recorded a £901million operating profit for 2019.
“While GMB members in British Gas acted as emergency workers during the COVID19 pandemic, Chris O’Shea & the Senior Millionaires Team of British Gas were busy plotting how to slash workers terms & conditions.
“In the grip of a global pandemic, Chris O’Shea’s anti-worker, ‘fire and rehire’ agenda would set a dangerous precedent for major UK employers, opening the floodgates for widespread attacks on workers’ jobs, pay and conditions. This is not how a country builds back better.
“GMB members are being told they’ll be sacked and then forced to accept new terms and conditions – across the board cuts in wages pensions and leave. Take it or leave it. Centrica are turning a once great British industrial institution into a cowboy contractor.
The founders of People’s Energy, a community interest energy company set up with the aim of eradicating fuel poverty, have expressed their sadness at the decision of Nottingham City Council to sell Robin Hood Energy to British Gas.
The news comes following a strategic review of the council owned energy firm, which was originally launched as a competitor to the Big Six. With similar aims to People’s Energy, Robin Hood was the first not-for-profit energy company in the UK, however it has been blighted by financial problems and a critical report from external auditors Grant Thornton showed it put tens of millions of taxpayer funds at risk.
The Robin Hood Energy website says it was set up ‘to help give people a cheaper, more helpful alternative to the Big Six’. The failed firm has now been sold to the highest bidder, meaning that well-meaning households who had chosen Robin Hood Energy for its doing-good mission, will now be automatically switched to British Gas, which despite many years of huge profits to shareholders, last year made a £1.1 billion loss.
The team behind People’s Energy believe it would be much better for the people of Nottingham, and other customers across the country, to have been transferred to an ethical energy company more in line with the initial vision for Robin Hood Energy.
People’s Energy was set up to provide an alternative to the Big Six and has pledged to return 75% of its profits to its customers in the coming years.
Launched in 2017 following a successful crowdfunding campaign, People’s Energy is growing fast, with 180,000 customers in just three years. The organisation’s mission is to eradicate fuel poverty, which it aims to do through charitable projects and partnerships with local authorities, amongst other activities. People’s Energy has no external shareholders to report to and has customer and staff representation on its advisory board.
People’s Energy has now set up a free helpline for any Robin Hood Energy customers who would like to discuss their options for switching. Concerned customers can call 0131 3701819 free of charge over the next ten days.
Karin Sode, co-founder of People’s Energy said: “We were saddened to hear that Robin Hood Energy has been sold to one of the very companies it was set up to disrupt and our thoughts are with the 250 Robin Hood employees who have been made redundant during this process.
“As this, and other failed not-for-profit energy companies, has shown, running energy companies should be left to the experts and we believe a better model is for councils to work with strategic partners to offer lower cost energy to their residents. Partnering with an existing energy firm and negotiating a competitive rate is win-win for everyone and avoids councils being burdened with huge financial risk when things go wrong.
“A great example of this is the new tariff we’ve just introduced with East Lothian Council. We are offering all East Lothian residents a deal significantly below our already competitive rates and would like to do more of this across the country.
“Our aim, as the UK’s first community interest energy company, is putting people before profits and right now we feel compelled to help the hundreds of thousands of Robin Hood Energy customers faced with a transfer to an energy company they don’t want.
“We welcome any former Robin Hood Energy customers who would like to be supplied by an ethical, customer-owned company that doesn’t report to external shareholders. We’d love to hear from anyone interested via our dedicated helpline.”
People’s Energy has a specialist team set up to support Local Authorities and housing associations across the UK who are interested in a very low risk alternative to offering residents competitive energy pricing.
Back at the start of April, as the full effects of the pandemic were unfolding across the UK, more and more people were needing support from food banks.
In the previous two weeks, there had already been a 81% surge in need for emergency food parcels compared to March 2019 – and as April wore on, this increased need for help would continue, with double the number of families needing help compared to the same month in 2019.
We were working closely with food banks to ensure people who couldn’t afford essentials were able to get an emergency parcel – but food banks could only continue to provide that vital lifeline if there was enough food for parcels.
It made such a difference that at the start of April Tesco pledged to support food banks in our network, independent food banks and food redistribution charity FareShare, with £15 million worth of food to ensure support could be there for people.
The £500,000 of funding and support with Bags for Life also came at exactly the right time to help us support food banks during this challenging time.
During the past 12 weeks, these donations have been critical for food banks across the country, ensuring emergency support was there for anyone unable to afford food.
Tesco’s support made all the difference during the crisis – as Jon from Brixton Foodbank explains: “We don’t think this support should have been needed. Everyone should be able to afford their own food and we’re stepping up our work to end the need for food banks.
“But while we do that longer-term work, we need to make sure help is available for people in crisis right now.
“We are so grateful for Tesco’s support during the past 12 weeks – it was absolutely critical to making sure food banks were able to be there for people as the impact of Covid-19 first unfolded.”
