Claiming Compensation for a Power Cut: What You Need to Know -

Lost the use of gas or electricity at home? Then take a look at this guide about how to claim power cut compensation.

Step-by-Step Compensation Checklist

1. Report the Cut Immediately

Dial 105 to report the outage and get updates from your local Distribution Network Operator (DNO).

2. Identify the Type of Outage

Planned cut: You must receive at least 2 days’ notice. If not, you’re entitled to £40 compensation.
Unplanned cut (normal weather):
- If fewer than 5,000 premises are affected: £95 if the cut lasts more than 12 hours, plus £40 for every further 12 hours.
- If more than 5,000 premises are affected: the threshold rises to 24 hours before compensation starts, then the same rates apply.
Severe weather (storms):
- Category 1 (less severe): £85 after 24 hours, plus £40 for each additional 6 hours, capped at £2,000.
- Category 2 (more severe): £85 after 48 hours, plus £40 for each additional 6 hours, capped at £2,000.
Frequent power cuts: If you’ve had 4 or more outages lasting at least 3 hours each in a year (April to March), you’re owed an extra £95.

3. Gas Supply Interruptions

Planned cut without 7 days’ notice: £50 for households, £120 for businesses.
Unplanned cut: £60 per 24 hours for households, £120 per 24 hours for businesses.

4. Claim Timing & Payment

Planned electricity cuts: Claim within 1 month.
Unplanned cuts: Claim within 3 months.
Payments should arrive within 10 working days for normal weather. For severe weather, it may take up to 4 weeks.

5. Prepayment Meters
Compensation can be paid in different ways: as credit to your account, a cheque, a voucher, or directly onto your meter depending on your setup.

6. What You Can’t Claim
You can’t claim for spoiled food, appliances breaking, or other personal costs. Your home insurance policy may cover these instead.

7. Not Happy with the Outcome?
If you’re refused compensation, complain through your network operator’s procedure. If that gets you nowhere, escalate it to the Energy Ombudsman.

Also worth reading

Why not consider switching your energy supplier to see if you can save yourself several hundred pounds a year?

Final Thoughts

Losing power is frustrating, especially if it drags on. But at least knowing you could be entitled to some money back makes it a little less painful. Just don’t expect it to cover the cost of your melted ice cream!