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Ofgem implements new consumer contact and customer service rules

Ofgem's new rules on contacting suppliers, support for customers in difficulty and publishing customer service performance took effect on 14 December 2023, after the fieldwork for its latest satisfaction survey.

A newspaper on a kitchen table beside a model of rules and regulation

Ofgem's new and updated consumer rules were implemented on 14 December 2023, the regulator has confirmed in its Energy Consumer Satisfaction Survey findings report for August and September 20231. The changes cover making it easier for consumers to contact their supplier, support for domestic customers struggling with energy bills, and a requirement on suppliers to publish information on their customer service performance as measured by Citizens Advice1.

The survey, the 17th wave of a tracker that began in 2018, was carried out by BMG for Ofgem and Citizens Advice, based on 3,742 interviews with a representative sample of Great Britain energy bill payers, with fieldwork from 30 August to 18 September 20231. Because the rules took effect after that fieldwork, the report describes the results as a baseline against which improvements are expected once the new rules have bedded in1.

"The changes were implemented on 14th December 2023 (after fieldwork for this survey wave was collected). This survey therefore provides a baseline against which we expect to see improvements once the new rules have bedded in."
Ofgem, Energy Consumer Satisfaction Survey findings report, August and September 20231

Overall satisfaction with suppliers stood at 69 per cent in August and September 2023, stable against 67 per cent in November and December 2022 but below the 78 per cent peak reached in April 20201. Satisfaction with customer service fell from 66 per cent to 62 per cent over the same period, 13 percentage points below its April 2020 peak of 75 per cent, while dissatisfaction with customer service was stable at 11 per cent against 12 per cent1. The most cited reasons for dissatisfaction were not being able to contact the supplier at the time needed (37 per cent), not feeling listened to (34 per cent) and queries taking a long time to resolve (34 per cent)1. Fewer respondents reported difficulty contacting their supplier, 26 per cent against 23 per cent in November and December 20221.

Satisfaction varied by financial circumstances. Almost four in five (78 per cent) of those doing well financially reported overall satisfaction, against 51 per cent of those facing high cost of living pressures1. Satisfaction with customer service was 49 per cent among those highly financially vulnerable, compared with 71 per cent of those doing well1.

On affordability, an average of 12 per cent of respondents reported falling behind on bills or running out of credit in the previous three months, but the report says this average masks differences by payment method1:

Payment methodFell behind or ran out of credit
Prepayment customers who ran out of credit21%
Standard credit customers who fell behind with bills27%
Direct debit customers who fell behind with bills9%

Of those who fell behind or ran out of credit for affordability reasons, almost one in three (32 per cent) had no contact with their supplier about it, only 17 per cent said their supplier reached out proactively to offer support, and nearly half (48 per cent) contacted their supplier themselves1. Of those who did have contact about falling behind, 63 per cent were satisfied with the support received, consistent with November and December 20221.

Why it matters for households

The rules now in force set the terms on which a household can reach its supplier, ask for help with debt and see how that supplier performs on customer service. The survey results describe the position before those rules applied: contact difficulties were the single most cited reason for dissatisfaction, and a third of those in arrears or out of credit had not spoken to their supplier at all1. For a household trying to keep supply secure while managing a tight budget, the practical test is whether contact happens early enough and whether support is offered rather than requested. The report notes that the need for improvement in supplier support for those struggling financially remains, particularly as the percentage behind on bills continues to rise and affordability issues are yet to decline1. Ofgem says it will continue to monitor evidence on consumers' experiences and outcomes to assess whether consumers are getting the quality of service and support they need and expect1.

What happens next

The next wave of research was under way at the time of publication, covering January to February 20241. Ofgem says it will explore emerging findings in more depth, including why those who are more financially vulnerable report lower satisfaction with the overall service provided by their supplier1. The report also notes that the survey complements other measures of customer service performance, including Ofgem's own data and Market Compliance Reviews and Citizens Advice's Star Rating of suppliers1.

Sources1 cited
  1. Energy Consumer Satisfaction Survey - Findings Report August September 2023 1.0, ofgem.gov.uk