Energy customers “victims of a dysfunctional market”, says Citizens Advice

In response to today’s (13 February) Business, Energy and Industrial Strategy (BEIS) Select Committee pre-legislative scrutiny of the draft Domestic Gas and Electricity (Tariff Cap) Bill, Gillian Guy, Chief Executive of Citizens Advice, said:

“As this report makes clear, both loyal and vulnerable energy customers have been the victims of a dysfunctional market and have been ripped off by energy companies for too long.

"An absolute cap, as recommended by the committee, is crucial to securing protection for the largest number of customers while continuing to provide competition in the market. This should apply to all default tariffs.

“However, we continue to hold reservations over the inclusion of a sunset clause tied to an arbitrary date. The decision to remove consumer protections should be dependent on whether the need for such protections still exists, not a fixed calendar date.

“The committee is right to point out that, even after any government price cap is lifted, people in vulnerable circumstances will need protection from overcharging.

“We look forward to working with the Government to ensure that these protections are put in place as soon as possible”.

Notes to editors

  1. The Citizens Advice service comprises a network of local Citizens Advice, all of which are independent charities, the Citizens Advice consumer service and national charity Citizens Advice. Together we help people resolve their money, legal and other problems by providing information and advice and by influencing policymakers. For more see the Citizens Advice website .

  2. The advice provided by the Citizens Advice service is free, independent, confidential and impartial, and available to everyone regardless of race, gender, disability, sexual orientation, religion, age or nationality.

  3. To get advice online or find your local Citizens Advice in England and Wales, visit citizensadvice.org.uk

  4. You can get consumer advice from the Citizens Advice consumer service on 03454 04 05 06 or 03454 04 05 05 for Welsh language speakers.

  5. Local Citizens Advice in England and Wales advised 2.5 million clients on 6.2 million problems in 2014/15. For full service statistics see our publication  Advice trends .

  6. Citizens Advice service staff are supported by more than 21,000 trained volunteers, working at over 2,500 service outlets across England and Wales.