Sarah Harrison, Ofgem
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N-power fined £2m by Ofgem

The energy supplier Npower has been fined £2m by the regulator, Ofgem, for mishandling customer complaints.

It is the second fine levied on one of the "big six" energy firms over complaints handling in the space of four months following a £2.5m fine for British Gas in July.

Ofgem said Npower failed to record all details of the complaints it received, did not give customers enough details of the redress service offered by the energy ombudsman and failed to put in adequate processes to deal with complaints.

The regulator said it is also currently investigating the way EDF Energy handles its complaints.

Sarah Harrison from Ofgem says that part of the problem is that there is not sufficient competition in the market.