Ofgem Slaps New Rules on Energy Firms to Protect Vulnerable Customers
Energy suppliers will soon be on the hook to prioritise vulnerable customers under tough new rules from Ofgem, launching this December. The watchdog wants to make sure those struggling with soaring bills get the help they desperately need — no ifs, no buts.
Suppliers Must Act Fast When Payments Missed
From December, if you miss two monthly energy payments or one quarterly bill, your supplier has to reach out. They’ll check if you’re having money troubles and offer support like affordable payment plans or even temporary repayment holidays. No more falling through the cracks.
Customer Service Ratings Go Public
Ofgem is also forcing firms to publish their Citizens Advice star ratings. Customers can soon compare suppliers on call wait times and service quality. And there’s more: Ofgem will roll out fresh customer service measures next year, developed hand-in-hand with the industry.
Ofgem CEO Puts Industry on Notice
“You need to step up your game,” said Ofgem chief Jonathan Brearley at the Energy UK conference. “We’ve seen progress from some suppliers, but the whole sector must hit these higher standards. Poor service won’t be tolerated — we’re ready to take action, including multi-million-pound fines.”
What The New Rules Mean For You
- Easy access to suppliers at convenient times via multiple contact methods.
- Priority given to vulnerable customers and free contact options for those in financial difficulty.
- Quick offers of debt repayment plans and possible debt holidays.
- Clear display of Citizens Advice customer service ratings.
Brearley stressed the urgency, citing rising global gas prices that threaten to push bills even higher. “Long wait times, poor responses, and a lack of empathy for customers’ situations are no longer acceptable,” he said.
Big Push to Support Customers in Debt
Ofgem is teaming up with consumer groups and the wider energy industry to crack down on poor service. The regulator praised Energy UK’s Winter Voluntary Debt Commitment campaign encouraging customers to reach out if they’re struggling.
Meanwhile, 2024 has already seen a wave of protections: bigger winter storm compensation payouts, scrapping the prepayment meter premium, extra support credits, and improved protections for vulnerable households using prepayment meters.
Next Up: Standing Charges Under The Microscope
Ofgem will soon gather consumer, charity, and supplier feedback on standing charges. With rising bills pinching household budgets, this could be the next big battleground.
The Bottom Line
These new rules are designed to boost customer service and ensure vulnerable energy users aren’t left in the cold. Ofgem is determined to hold suppliers to account and drive a fairer, more compassionate energy market for everyone.
