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DESNZ launches consultation on regulating TPIs in the retail energy market

The government has opened a consultation on regulating third-party intermediaries in the retail energy market, building on a 2021 call for evidence, while the Retail Energy Code Company presses ahead with its own broker accreditation scheme.

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

The Department for Energy Security and Net Zero (DESNZ) published a consultation in September 2025 seeking views on options for regulating Third-Party Intermediaries (TPIs) in the retail energy market, to increase consumer protections and building on its 2021 call for evidence1. The Retail Energy Code Company (RECCo), which administers the Retail Energy Code, said it welcomes the consultation and will respond fully in due course1.

TPIs are the energy comparison sites and brokers that advise households and businesses on tariffs and services. RECCo said their role will become more significant as the market grows more complex, with consumption timing, flexibility and the ability to sell energy back into the system increasingly influencing costs1.

Separately, RECCo is progressing its own change proposal, R0137, which would mandate that non-domestic suppliers use only a TPI that adheres to its TPI Code of Practice1. RECCo said it had reviewed the DESNZ options and, because the proposals are not yet certain to result in new regulation, considers it appropriate to proceed with R0137 and submit it to Ofgem for approval1. It said this would give Ofgem the option to introduce a mandatory scheme, potentially years before any new regulations come into effect, and that DESNZ's principles closely align with the existing TPI Code of Practice1.

"R0137 could form a strong foundation for any future regulatory framework, albeit with a possible transfer of roles between RECCo and Ofgem."
Retail Energy Code Company, source1

RECCo said it will continue developing a voluntary accreditation and registration system for TPIs, which it says will give non-domestic consumers and suppliers greater assurance and provide a softer landing for voluntarily accredited TPIs1. It added that it has been in discussions with various third-party intermediaries individually and was recently invited to speak to Energy Consultation Association members1.

Why it matters for households

The consultation concerns the intermediaries that sit between households and suppliers, and the protections that apply when things go wrong. The DESNZ consultation is about the retail market generally, while RECCo's R0137 proposal as described applies to non-domestic suppliers and their use of TPIs1. The two tracks are running at the same time, and RECCo has said roles could transfer between itself and Ofgem under any future framework1.

For a household, the practical questions are who is accountable for the advice given, what standards apply, and what recourse exists. The energy consumer bodies such as Citizens Advice, Consumer Scotland and the Consumer Council for Northern Ireland already handle complaints and evidence in this area. The consultation is part of the wider process of how energy rules are proposed, decided and changed, led by DESNZ.

What happens next

R0137 will return to the Change Panel in October and is expected to be issued for consultation, closing on 8 November1. RECCo said it will continue developing the voluntary accreditation and registration system in the meantime1. The closing date for the DESNZ consultation has not been reported.

Sources1 cited
  1. An update on the regulation of Third-Party Intermediaries in the Retail Energy Market - The Retail Energy Code Company, retailenergycode.co.uk