Ofgem to investigate reports of bad practice by energy suppliers

The energy regulator, Ofgem, has issued a letter to all non-domestic suppliers, informing them of concerning reports they have received detailing the challenges being faced by non-domestic customers. Examples cited include lack of offers to contract, excessive security deposits and risk premiums, delayed responses, unacceptable responses during debt and disconnection activities and concerning increases in standing or management charges.

Ofgem’s investigation has been welcomed by British Beer & Pub Association (BBPA), with CEO Emma McClarkin stating,

“After monitoring these issues closely for months and supplying numerous cases of extremely poor practice by non-domestic energy suppliers from pubs and brewers from across our membership, it is good to see Ofgem recognising and intervening on this issues that has been causing business owners stress, anxiety and extreme extra cost pressures. Outside of the energy cap, suppliers have sought to make money elsewhere by increasing prices on other parts of bills not covered by the cap and cancelling contracts at short notice. At a time when energy bills are still crippling pub and brewing businesses, it is essential Ofgem continues to investigate these practices.”

With much of the support in fighting this current cost of living crisis being focused towards consumers, it is encouraging to see backing for businesses.