Ofgem has proposed a £1.25 million fine against London based supplier Maxen Power, after finding failures in how the company handled suspected cases of energy theft.
The regulator said the breaches relate to the way Maxen communicated with customers when supply had been restricted, or charges applied following suspicions of theft.
Ofgem found that in a number of cases customers were not given clear information explaining the basis for the suspicion or how the decision had been made.
Customers were also not properly informed about the charges being applied, how they could challenge them or what steps were needed to restore energy supply to their property.
The proposed penalty follows an investigation launched by the regulator in July 2025 after the issues were first identified.
Ofgem said the £1.25 million penalty reflects failures to meet obligations under the supplier’s licence regarding fair treatment and transparency.
The investigation has since widened beyond the original allegations.
Regulators are now examining whether Maxen complied with other licence conditions including requirements to maintain robust internal systems and ensure senior managers meet the “fit and proper person” standard.
Ofgem said the expanded probe remains ongoing.
The regulator added that the proposed penalty issued today relates only to the handling of suspected energy theft cases and does not represent a final finding on the additional areas currently under investigation.
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