‘Since prices sky-rocketed, the power market has let too many working individuals down’

When we talk to our energy suppliers, it’s normally bad news. It might be a faulty meter or over-payment on our bills. Either way, it’s rarely a conversation we want to have.

But what if suppliers were there to help us save money, protect us from poor customer service, and give us the confidence to make greener choices for our homes?

Our long-term goal is to fix our broken energy market, and make it fair, supportive and affordable for everyone. That is why today we’re launching the first comprehensive review of the energy regulator, Ofgem.

As the Prime Minister set out in the Plan for Change earlier this month, the government’s mission is to deliver on the priorities of working people. We want to make sure that Ofgem is a champion for consumers, that it gives people the confidence to invest in their future and empowers them to choose the most affordable, greenest and most flexible energy choices available – on their own terms.

The regulator also needs to play a role in driving economic growth and supporting the transition to net zero. We need to cut through unnecessary red tape and ensure that, as the Prime Minister promised at the International Investment Summit, our regulatory regime is fit for the future and creates the right conditions for investment and innovation – without losing sight of its primary role of standing up for households across the country.

We know that, particularly since energy costs sky-rocketed in 2022, the energy market has let too many working people down. Putin’s invasion of Ukraine sent prices spiraling and led to sudden supplier failures that were chaotic for consumers. And if that wasn’t enough, families who were forced to move supplier then had insolvency practitioners demanding that their debit balances with their old supplier had to be paid off immediately.

What the crisis revealed is that the energy regulator simply did not have the tools it needed to protect consumers in today’s market. We have learned tough lessons from the past few years, and now we will put them into practice through innovation and reform.

Poor service and a frustrating lack of accountability when things go wrong will be a thing of the past. The customer complaints process will be improved, Ofgem’s ability to investigate cases where customers are not being treated fairly will be strengthened, and access to automatic compensation when things go wrong will be quicker, simpler, and more widespread.

We will also investigate how the regulator can help to give people the confidence to save money and reduce emissions by investing in a heat pump, a new boiler, or an electric vehicle charging point.

Ultimately, this review is about giving British people the regulator they deserve, as we build a fairer, simpler, more transparent energy market. Once it’s finished, we might actually find ourselves looking forward to a call with our energy supplier.