The proportion of customers repaying a debt to their supplier using a prepayment meter (PPM) (%)

Chart

Source: Vulnerability report 2017.

Information correct as of: October 2017

This chart shows the proportion of domestic gas and electricity customers repaying a debt who are paying via a prepayment meter (PPM) between Q1 2011 and Q2 2017.

Policy Areas:

  • Domestic consumers

Data Table

The proportion of customers repaying a debt to their supplier using a prepayment meter (PPM) (%)

ElectricityGas
Q1 201141%40%
Q2 201140%36%
Q3 201140%40%
Q4 201141%46%
Q1 201236%43%
Q2 2012 32%38%
Q3 2012 35%38%
Q4 2012 37%41%
Q1 201335%37%
Q2 201334%33%
Q3 201334%35%
Q4 201335%37%
Q1 201439%40%
Q2 201439%41%
Q3 201439%43%
Q4 201440%44%
Q1 201539%43%
Q2 201539%42%
Q3 201538%41%
Q4 201539%43%
Q1 201638%41%
Q2 201639%41%
Q3 201639%42%
Q4 201640%43%
Q1 201738%42%
Q2 201739%42%

More information

At-a-glance summary

The proportion of domestic customers repaying debt who are paying via a prepayment meter has stayed broadly static in the last three years. Gas customers continue to be more likely to repay a debt via a PPM than electricity customers.

Relevance and further information

On 1 April 2017 we introduced a cap on the amount suppliers can charge a domestic PPM customer. Suppliers must set their prepayment prices at or beneath this level. PPM customers have fewer competitive tariff choices and are exposed to the risk of self-disconnection. Since the PPM cap, prices for PPM tariffs have become more competitive with other payment methods.

Methodology

When a customer falls into debt, suppliers must always offer them a range of debt repayment options – including the option to repay via a PPM – to customers. If no payment arrangement is agreed, suppliers may obtain a warrant to install a PPM to secure payment for ongoing energy use and debt repayments. This must be a last resort to avoid disconnecting the customer. A debt repayment arrangement is an arrangement to repay debts which lasts more than 91 days/13 weeks.

Date correct
October 2017
Policy area