Source · Select Committees · Business and Trade Committee
Recommendation 1
1
Acknowledged
Paragraph: 25
Until June 2019, Ofgem granted energy suppliers a licence to operate in the market without...
Conclusion
Until June 2019, Ofgem granted energy suppliers a licence to operate in the market without ensuring they had access to sufficient levels of working capital, an acceptable business plan, or were run by individuals with relevant expertise. Ofgem’s delay to the Supplier Licensing Review was unacceptable and inexcusable which, if carried out when it should have been, would have reduced the recent costs of supplier failure. Ofgem’s negligence has contributed to higher energy bills, which is in complete contradiction to its mandate to act in the interests of consumers.
Government Response Summary
The Department for Business, Energy and Industrial Strategy has launched a cross-Government Affordability Sprint to share data and information on affordability, and Ofgem will support the new Prime Minister and Cabinet.
Paragraph Reference:
25
Government Response
Acknowledged
HM Government
Acknowledged
The Department for Business, Energy and Industrial Strategy has recently launched a cross-Government Affordability Sprint to share data and information on affordability, supporting the development of energy market interventions. Ofgem remains actively engaged in this group and will continue to support the new Prime Minister and Cabinet.