Last chance for say on TPI and broker regulation today

Posted on 23 August 2013 by Vicky Ellis

A call for the industry’s thoughts on bringing in new regulation for third party intermediaries (TPI) such as energy switching sites and brokers closes today.

Ofgem is looking into the need for rules to govern firms who work as go-betweens between suppliers and consumers in the energy market, after receiving a number of complaints.

In February the watchdog asked the Government to give it more powers to stamp down on “rogue” energy brokers for misselling. At the time Ofgem research found 14-17% of businesses which used brokers were dissatisfied with them when looking to switch energy contract.

TPIs are unregulated at the moment and some believe rules are necessary to force out dodgy dealers who hoodwink small businesses with charges lumped onto energy deals.

Others claim brokers and consultants already have a voluntary Code of Practice through the trade group UIA which should be enough to sort the wheat from the chaff, however only around 5% of brokers in the country are members of the group.

Details of Ofgem’s review can be found here and responses to this consultation should be sent to ThirdPartyIntermediaries@ofgem.gov.uk by close of play today.

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Article source: http://www.energylivenews.com/2013/08/23/last-chance-for-say-on-tpi-and-broker-regulation-today/