Ofgem published the findings of its Market Compliance Review of suppliers' customer service and complaints handling on 2 February 2023, rating every supplier it assessed and issuing a Provisional Order to E.On1. The review examined how easily customers can contact their suppliers and have issues or complaints put right1.
Suppliers were placed in one of four categories: no significant issues, minor weaknesses, moderate weaknesses and severe weaknesses1. Ofgem said it did not categorise any supplier as "no significant issues"1. Five suppliers were placed in the minor weaknesses category: Bulb, Ecotricity, Green Energy, Shell and Octopus1. The majority were placed in moderate weaknesses: British Gas, E Gas & Electricity, EDF, Good Energy, Outfox the Market, OVO, Scottish Power, SO Energy, Utilita, Utility Warehouse and Tru Energy1.
| Rating | Suppliers |
|---|---|
| No significant issues | None |
| Minor weaknesses | Bulb, Ecotricity, Green Energy, Shell, Octopus |
| Moderate weaknesses | British Gas, E Gas & Electricity, EDF, Good Energy, Outfox the Market, OVO, Scottish Power, SO Energy, Utilita, Utility Warehouse, Tru Energy |
| Severe weaknesses | E.On |
Ofgem said it based its assessments on suppliers' responses to a Request for Information, additional data on customer service performance between October and December 2022, and information from other sources including the Ombudsman Services: Energy, Citizens Advice and other consumer bodies1. Areas for improvement identified across the market included long call wait times, high call drop rates, slow responses on written contacts, weaknesses in complaint processes and controls, incomplete management information, weaknesses in agent training or quality control, and high rates of complaints upheld by the Ombudsman Services: Energy, which Ofgem said suggested poor initial complaints resolution1.
"In light of serious concerns about E.On's current customer service performance, we have rated E.On 'severe weaknesses' and have taken the decision to immediately issue a Provisional Order requiring rapid improvements to their performance."
Under the Provisional Order, Ofgem said E.On will need to quickly reduce call wait times and the rate of calls that are abandoned, and will have to report its customer service performance to Ofgem on a weekly basis1. Ofgem said some suppliers were already taking action following the review, including increasing customer service staff teams, training on different contact channels, improving the number and type of communications with customers, and improvements in IT technology1.
Why it matters for households
Contacting a supplier is the route to almost everything else a household needs: querying a bill, disputing a balance, arranging payment support, or resolving a fault. Ofgem states that good customer service and being easy to contact is paramount because all other services offered by suppliers depend on consumers being able to access them1. Where call wait times are long or calls are abandoned, a household's ability to act on its own energy independence is limited, whatever tariff or supplier it holds. The review also points to complaints that reach the Ombudsman being upheld at high rates, which Ofgem links to poor initial resolution by suppliers1. Households wanting to compare how individual suppliers have performed can consult published customer service ratings and complaints data; the wider framework for raising a dispute is set out in energy complaints and redress, and the regulator's remit is covered under Ofgem.
What happens next
Ofgem said it will periodically update its page on improving energy supplier performance with the progress suppliers are making on required actions1. It said it had already started compliance engagement with the suppliers rated moderate weaknesses, to address policy or process weaknesses or require concrete action plans1. E.On's weekly reporting to Ofgem under the Provisional Order is the only dated follow-up stated in the decision1.