Ofgem published its Consumer Outcomes Implementation consultation on 23 June 2026, seeking views on how outcomes-based regulation can be put into practice in both the domestic and non-domestic supplier retail markets1. The consultation runs alongside a statutory consultation on changes to the supply licence, which Ofgem says would make it simpler and easier to engage with1. Responses to the policy consultation are due by 19 August 20261.
Outcomes-based regulation focuses on the results consumers experience rather than prescribing the exact processes firms must follow, giving suppliers flexibility in how they operate while holding them accountable for delivering good outcomes1. Ofgem set out seven outcomes it expects suppliers to deliver, covering fair value pricing, accurate and understandable bills, flexible payment options for those struggling to pay, fair handling of complaints, clear information, switching without unnecessary barriers, and products and services that perform as intended1. Vulnerability is described as a core consideration across all outcomes1.
Billing is the first area for rule changes. Ofgem says billing accounts for 29% of all domestic complaints made to suppliers, making it the single largest complaint category, and represents almost 60% of all domestic complaints received by the Energy Ombudsman; billing complaints also make up 39% of all non-domestic complaints made to suppliers1. Ofgem plans to implement billing rule changes from the start of next year, with all the outcomes implemented over the next couple of years1.
The consultation also covers the supplier Guaranteed Standards of Performance (GSOPs), which set minimum service standards with automatic compensation if they are breached1. Ofgem states that the £40 payment level has been in place since January 2025, when the previous level of £30 was uplifted to account for inflation, and it is proposing an automatic inflation-based uplift for supplier GSOPs based on the existing approach in the network GSOPs1. It is also proposing repeated payments for the two existing GSOPs that relate to restoring supply of gas or electricity to consumers1.
"This consultation asks for views on how outcomes‑based regulation can be put into practice in both the domestic and non-domestic supplier retail markets."
A separate Ofgem publication, the Consumer Vulnerability Strategy: Progress Report dated 21 July 2026, sets out findings on how suppliers support consumers in vulnerable situations2. It reports that at the end of 2025, around 58% of consumers who were behind on their bills were in arrears without a repayment plan2. It also records that the average number of weeks to repay debts was lower in 2025 (107 for electricity and 102 for gas) than in 2020 (127 and 121 respectively), while the average debt balance rose from around £7 to £9 per week in 2020 to around £12 to £14 per week in 20252. The report says Ofgem consulted on the proposed Debt Outcome in June 2026 and on lower standing charge tariffs in September 2025, launching a one-year pilot in April 20262.
Why it matters for households
The billing outcome would become a supply licence condition that suppliers are required to achieve, rather than a set of detailed process rules1. For a household, that shifts the emphasis onto what the bill actually does: whether it is accurate, timely and understandable, and whether problems are put right. Billing is already the largest single source of domestic complaints to suppliers and the dominant category at the Energy Ombudsman1, so changes here touch the most common point of friction between a home and its supplier.
The GSOP proposals concern automatic payments when suppliers miss set service standards, including restoring supply. An inflation-linked uplift would mean the £40 level rises over time rather than being fixed, and repeated payments for restoration failures would mean compensation can accrue where a failure continues1. These are automatic payments, not sums a household has to claim.
The vulnerability report points to a different pressure: the share of customers in arrears without a repayment plan, and rising average debt balances2. Billing accuracy and meter access are identified as factors that make it harder for consumers to understand what they owe and to agree support that reflects their circumstances2. For a home trying to manage energy costs, the practical link between the two consultations is that clearer bills and structured repayment arrangements affect how predictable and controllable a household's energy spending is.
What happens next
The Consumer Outcomes Implementation consultation closes on 19 August 20261. If Ofgem decides to change billing rules or GSOP rules, it says it will issue a statutory consultation setting out the exact proposed changes1. Billing rule changes are planned from the start of next year, with all outcomes implemented over the next couple of years1. The next cycle of vulnerability focus sessions is planned for early 2027, to align with annual Social Obligations Reporting data2.
Sources2 cited
- Consumer Outcomes – Implementation, ofgem.gov.uk
- Coumer Vulnerability Strategy: Progress Report, ofgem.gov.uk