HomeWorld RegionsEuropeUK regulator unveils reforms for way power is sold to businesses

UK regulator unveils reforms for way power is sold to businesses

UK energy regulator Ofgem has today announced far-reaching proposals designed to overhaul the way utilities supply power to businesses.

In March an Ofgem investigation found businesses were confused about suppliers’ contract terms and conditions and concerned about potential mis-selling from energy brokers.

The reforms put new standards of conduct into suppliers’ licences governing “fair, honest and transparent” dealings, and propose new rules to better protect businesses from unfair sales practices.

Ofgem’s chief executive Alistair Buchanan said: “During our investigation into the energy market, businesses told us about a range of problems they were having with energy suppliers and also some energy brokers.

“Ofgem is now proposing a series of reforms to ensure that business customers get a better deal from their energy supplier and greater protection for those using energy brokers. This will greatly increase the protection for businesses, especially for smaller firms. As we have demonstrated in the domestic market, we will also take a tough line on any suppliers we find systematically breaching rules designed to protect businesses.”