Npower will pay £3.5 million to vulnerable customers after regulator Ofgem found it had mis-sold energy contracts to customers on doorsteps and by phone.
E.on is to hike energy prices by an average of 3.7% from 18 January, becoming the last of the big six power suppliers to announce an increase in its charges.
Households are to be spared the full force of recent bill hikes after power firms pledged to pass on savings from a Government shake-up of energy levies.
Hundreds of thousands of Npower customers will find themselves moved to a new energy supplier next year after it agreed to sell their accounts to Utility Warehouse.