Energy Regulator Lifts Compensation Cap for those Affected by Storm Arwen

Storm Arwen hit the UK on the 26th November 2021, bringing severe northerly winds gusting widely that reached a speed of 98mph, making it one of the most powerful and damaging winter storms of the decade.

Unfortunately, this had significant impacts on the country’s power networks, leaving thousands of homes in Scotland and Northern England without power for up to ten days after the storm hit.

As a result, energy regulator Ofgem has removed the £700 compensation cap on the amount that households can claim from network companies for going without power, meaning some of the 10,500 customers will be able to claim over £1,400 for the full ten days.

Initially, customers could only make a claim of £70 for each 12-hour period they were left without power after an initial £70 for the first 48 hours, however, customers will now be able to claim up to £140 in compensation.

Some network companies are also giving additional refunds on top of the statutory compensation, such as Scottish Power Energy Networks who will be giving customers in the Scottish borders an extra £150.

Why Were Homes Left So Long Without Power?

Throughout the week, engineers struggled to fix the significant damage that initially left 1 million UK homes without power. According to the industry trade body, the Energy Networks Association, the snow, high winds and complex, labour-intensive faults were making the restoration of power extremely challenging.

Ofgem have also announced they will be reviewing the network companies’ responses to the damage caused by Storm Arwen due to complaints thay communication from the companies wasn’t adequate in the first few days following the storm, with many customers saying they felt “forgotten about”.

Jonathan Brearley, Ofgem’s chief executive said:

“We understand this is a really worrying time for people who are without heat and power as the severity of Storm Arwen has hit homes and businesses in the North of England and Scotland.

We accept the network companies have been working in challenging conditions, but until every home in Britain has power restored, that relentless effort must continue.

We are launching a review into how the storm has been handled. We have strict rules on how network companies need to operate in these circumstances, and we will take action if needed.”

In Scotland, 130 military personnel have joined the relief effort, helping to carry out welfare checks and offering support where needed and in County Durham, 100 soldiers were deployed to assist those without power.

Prime Minister Boris Johnson announced all homes should be back up and running with power by Tuesday 7th at the latest, though many homeowners stay worried about their homes this winter as news of a new storm, Barra, has been announced.

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