Responding to the National Audit Office’s (NAO) report on the energy supplier market, Energy UK’s Director of Advocacy, Dhara Vyas said:
“Both the industry and consumer groups had long raised concerns about the regulation of new suppliers and as the National Audit Office report makes clear, Ofgem should have been quicker to respond to these. The cost and disruption faced by customers illustrates the consequences of supplier failure. Whilst record wholesale prices have caused difficulties even for well-run companies, the situation was exacerbated by some suppliers being ill-equipped to deal with a suddenly volatile market.
“Energy UK welcomes the changes Ofgem is proposing to strengthen regulation and reduce the costs passed onto customers. Supplier failures do cause significant expense and disruption across the market and the NAO is quite right to stress the importance of creating a sustainable retail market which works well for customers. It’s vital that the retail energy market is fit for purpose, can attract investment and innovate in order to deliver the UK’s Net Zero targets.”