Ofgem are clamping down
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Energy regulator OFGEM has unveiled its proposals for new rules for energy suppliers and brokers to protect businesses from mis-selling.
Under the watchdog’s proposals, energy suppliers would only be allowed to use brokers or third-party intermediaries (TPIs) that are accredited under a new code of conduct. TPIs will be forced to be “completely transparent about the fees for their services, the suppliers they are affiliated with, and the contracts they offer”. Since November, Ofgem has had powers to act against TPIs that are marketing energy products or services to businesses in a misleading way. Maxine Frerk, Partner for Retail Markets at Ofgem, said: “We are determined to clamp down on poor practices by some TPIs and provide more transparency in this market. They also have to improve their overall training and the way they deal with customers. “We have already obtained from Government, powers to take enforcement action against misleading TPI behaviour. The next step is finalising the industry-wide code practice for TPIs. “By requiring suppliers to only work with accredited TPIs, we will ensure that suppliers and TPIs are jointly accountable for giving a high quality service to business consumers.”
We are also hoping this will reduce the number of annoying calls you get on a daily basis with someone trying to hassle you in to signing up with them!