The Thin End

As the 'media storm' subsides we move into the second week of our campaign for compensation for misled E.ON Age UK tariff customers. The message is clear from so many of the comments left by those supporting the petition. They all express outrage at both Age UK and E.ON. Many of you would have heard the response of Age UK in the media. It is apparently all a storm in a teacup whipped up by the media and in particular The Sun. Age UK and E.ON have responded to the media storm by 'suspending' their commercial association, but they continue to defend their position. They would have us believe this move has nothing to do with the campaign. Meanwhile they continue to peddle misinformation. The boss of Age UK says that they received 'typically' just £10 from each customer signing up to the Age UK tariff. A simple calculation shows this is not true. The accounts for the year 2014/15 for UK Enterprise Ltd show they received £6.3 million from E.ON for sign

A victory of sorts, or at least a skirmish won. With pressure mounting as a result of The Sun investigation and growing public outrage, E.ON UK has announced that it will withdraw its misleading Age UK energy tariff and replace it with a better deal for older people. We will see the replacement this week. This is good news. But it isn't sufficient. E.ON's move is an acknowledgement of the misleading nature of the Age UK tariff.  They are bowing to pressure, and they know it is indefensible.  Defending the indefensible is always a bad place to be. We need to maintain pressure for them to refund those pensioners who had a bad deal. Age UK initially denied it was a bad deal, saying that fuel prices can go up or down, and that they advise people to search around for the best deals. But this is too simple.  it is easy enough to say consumers should 'shop around', but if that was the best thing for Age UK clients to do, then why not simply give them the best advice on

The truth about Age UK is that it has become a social enterprise company rather than a charity. You might say it is a charity with a commercial arm.  But there is a point when the aggressive nature of the commercial arrangements can compromise the charity's role and independence. Age UK is proud of its commercial approach.  It has won awards for it.  It boasts about it.  It has been a trailblazer in the new approach for charity fundraising through engagement with the financial market in insurance, equity release plans,  energy tariffs,  and funeral plans.  But does this activity compromise its ability to challenge the financial market and campaign for better service for older people?  If you depend on your income from part of that financial sector, can you really be free from biased judgement? It compromises your position. Perhaps that is the truth about Age UK and its commercial arm,  Age UK Enterprises Ltd.  Age UK Enterprise has an annual turnover of some £47.6 million.  In

Thank you to all who have supported the petition to get the energy company E.ON to compensate customers for any losses resulting from their Age-UK tariff. We are making progress but we need to maintain pressure. Citing the "sensitive" nature of its payment to Age UK, E.ON confirmed the "commercial relationship" with Age UK. The involvement of a charity representing millions of older people should have transparent relationships with the commercial sector. Yesterday the scandal of Age UK commercial involvement with E.ON was front page news. The Energy Minister has asked Ofgem to investigate. But Ofgem is a toothless 'regulator' with little power of enforcement. This is why it is important to keep the pressure on E.ON. Age UK is the biggest charitable body representing and supporting older people. Its supporters do sterling work. But in promoting E.ON energy tariffs the board of Age UK has stepped over the line and compromised the charity's integrity. Age

Three years ago I posted on twitter my concern about the Age UK energy tariff offered by E.ON to their customers.   I was then concerned that a charity representing the interests of older people was being used in a commercial deal by the energy provider.   I had myself signed up to the tariff.  What exactly was the relationship? Was it misleading?   Little did I know then that this issue would become headline news today on the front page of   The Sun . Age UK have themselves berated the energy companies for overcharging customers. It seemed odd then that they would entangle themselves with a commercial deal from which they received commission from E.On for each customer signed up to the tariff with the Age UK branding.  According to The Sun investigation the charity has received £6 million from E.On as a result of this commercial deal.  At best this financial deal compromises the charity's objective to represent the best interests of older people