Our response to Ofgem's 'Consumer Confidence 2024' publication

We welcome and support Ofgem’s proposals to raise customer service standards across the energy sector.

The recent publication, “Consumer Confidence 2024”, provides an insightful reflection on the recent changes in the energy sector that have affected customer services. It recognises the various factors for the decline in customer satisfaction levels and their vision to deliver “five-star customer service fit for an increasingly complex market transitioning at pace towards net zero.”

As the Energy Ombudsman, we are committed to building and maintaining trust between consumers and suppliers. Our recent data shows that customer service and billing remain the top two complaint categories for disputes, accounting for over half of the accepted cases between January and June 2024.

Although the total number of cases we’ve handled has decreased by 22% compared to the same period in 2023, there’s still considerable room for improvement when it comes to customer service standards across the sector.

The energy industry is still emerging from a challenging period, where the sector has struggled to meet the demand from consumers. While our service has seen a positive reduction in complaints as prices have come down, some long-standing root causes of dissatisfaction remain prevalent. Addressing these will be key to enhancing the overall customer experience and building trust between consumers and suppliers.

Many of the issues that drive complaints are within the control of suppliers, and a focused effort on resolving these can yield immediate improvements. As the Ombudsman, we regularly engage with suppliers to discuss the challenges consumers face and work together to ensure these issues are addressed. By working collaboratively, we can drive meaningful change to better serve consumers and strengthen trust within the energy sector.

However, there are also systemic challenges that require collaboration across the sector, and we fully support Ofgem’s call for organisations to work together to tackle these.

In particular Ofgem’s emphasis on improving complaint-handling standards is crucial. We believe that raising the bar in how complaints are managed will have a lasting impact on consumer confidence and satisfaction.

Read Ofgem Article: https://www.ofgem.gov.uk/press-release/ofgem-sets-out-vision-customer-service-culture-change-make-energy-sector-best-britain

Read Publication: https://www.ofgem.gov.uk/sites/default/files/2024-09/OFG2266%20Consumers%20Confidence.pdf