Octopus Energy has recently completed a significant migration of its Direct Debit operations to the fintech payments provider GoCardless.

In this move, Octopus Energy aimed to expedite the process for customers receiving refunds on account credits. According to official statements, the UK energy supplier moved around 5.5 million customer accounts and approximately GBP 12 billion in annual transactions to GoCardless’ platform. As a result, refund processing time has been reduced from up to five working days to one to two days.

The majority of refunds are now initiated digitally through the Octopus Energy app, which processes about 70% of all refund requests, with roughly 30,000 refunds being handled each week via this method. Customers who prefer traditional methods can still request refunds by phone or email support.

Operational Changes and Automation

The integration with GoCardless is expected to minimize delays associated with conventional Direct Debit processing and simplify back-office tasks, allowing internal teams to concentrate on customer service rather than manual payment handling.

To further enhance the user experience, Octopus Energy has also introduced features such as the ability for customers to reclaim surplus credit through their online accounts at any time. Additionally, a personalized Direct Debit forecasting tool is now available in customer accounts, illustrating how payments and energy usage align throughout the year.

Octopus Energy officials stated that this migration was a complex yet seamless process, contributing to its broader initiative to modernize payment infrastructure. GoCardless representatives noted that this partnership showcases the feasibility of using bank-to-bank systems for recurring household bills on a large scale.