Small businesses are being conned out of £2bn by rogue “energy brokers” who lock them into long-term bad-value gas and electricity contracts, according to documents submitted to the energy regulator. Some individual firms are seeking payouts of up to £1m, according to one claims management firm that is seeking legal settlements for small businesses against their brokers. The regulator estimates that businesses, charities and public bodies spend about £25bn to cover their energy bills every year, of which about half is bought through energy brokers. Ofgem first put forward plans to protect small businesses from dishonest energy brokers in 2014 but dropped the plan after finding “inconclusive evidence” of malpractice. Thompson said that without action, the misconduct of some energy brokers was likely to get steadily worse.

Source: The Guardian January 26, 2020 15:19 UTC