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Business Energy Supply Billing: Regulation
01 July 2025
Lead MP
Sarah Edwards
Tamworth
Lab
Responding Minister
Miatta Fahnbulleh
Tags
EconomyNorthern Ireland
Word Count: 8944
Other Contributors: 8
At a Glance
Sarah Edwards raised concerns about business energy supply billing: regulation in Westminster Hall. A government minister responded.
Key Requests to Government:
I ask the Minister when the proposed review of Ofgem's new licence rules will happen and whether she can guarantee it will be rigorous and effective. I also inquire about the conclusion of the review of Ofgem itself, as there is growing concern that Ofgem is not fit for purpose.
How the Debate Unfolded
MPs spoke in turn to share their views and ask questions. Here's what each person said:
Lead Contributor
My constituent Samantha Panton received an £10,000 demand from E.ON Next, threatening to close her business and put 10 jobs at risk. Upon investigation, it was found that E.ON Next owed Ms Panton £4,433 due to a billing error. The company ignored concerns about its mishandling of credit notes and breaches of back-billing regulations. Additionally, Ofgem’s review showed that only two suppliers have ever been fined for licence breaches and many do not report them.
Carla Lockhart
DUP
Upper Bann
Agrees with Jim Shannon about the need for clearer dispute resolution processes and calls for greater powers for regulators in Northern Ireland.
Gregory Campbell
DUP
East Londonderry
The hon. Member congratulated Sarah Edwards on securing the debate and expressed agreement with her stance, citing concerns about suppliers treating non-domestic customers fairly as outlined in an Ofgem report.
Jim Shannon
DUP
Strangford
The hon. Member for Strangford highlighted his constituents' struggle with energy costs, especially in Northern Ireland where the Utility Regulator oversees electricity and gas markets. He praised the Minister's interest in ensuring consistency across regions and emphasized the need for greater regulation to prevent businesses from being financially crippled. Discusses the need for better dispute resolution access and highlights the importance of regulating energy costs to ensure businesses only pay for what they use. Discussed issues related to Northern Ireland's Utility Regulator and highlighted the Government’s efforts in collaboration with the Northern Irish Government.
Kevin Bonavia
Lab
Stevenage
Highlights the impact of uncapped energy billing on small to medium-sized businesses, using examples from his constituency to illustrate the detrimental effects on local economies.
Birmingham, Perry Barr
Provided information on ongoing challenges with smart meters, back-billing rules, and the Energy Ombudsman's expansion to cover small businesses. Announced plans for automatic compensation and reduced referral waiting times. Defended the Government’s approach to energy pricing, emphasizing the need for long-term stability and security. Addressed concerns about energy brokers and promised future regulatory measures.
Nick Timothy
Con
West Suffolk
Mr. Timothy agreed with Sarah Edwards's concerns, highlighting the significant problem of high energy costs for small businesses and questioning Ofgem’s wide remit in regulating such issues. Asked the Minister about Labour's previous actions regarding energy prices and questioned their correctness.
South Cambridgeshire
SMEs in my constituency face increased utility costs, with an average electricity bill of £240 a month. Over 3 million small businesses have had negative experiences with energy brokers and demand clearer commission structures.
Sarah Edwards
Lab
Scottdale
Expressed disappointment over incorrect billing and smart meter failures, raising specific cases in her constituency. Called for urgent action on regulating energy brokers, enforcement of fair billing practices, and protection against fraudulent activities. Emphasized the importance of SMEs and their challenges.
Government Response
Miatta Fahnbulleh
The Parliamentary Under-Secretary of State for Energy Security and Net Zero
Government Response
The Minister assured MPs that the Government is taking this issue seriously and working to reform the energy market. She mentioned progress already made, but emphasized the need for further action. Discussed the Government's approach to energy security and market stability, addressing concerns about volatile gas prices and advocating for clean power solutions. Mentioned ongoing consultations on regulating third-party intermediaries such as energy brokers and promised to work closely with Northern Ireland in regulatory improvements.
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Assessment & feedback
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About Westminster Hall Debates
Westminster Hall debates are a chance for MPs to raise important issues affecting their constituents and get a response from a government minister. Unlike Prime Minister's Questions, these debates are more in-depth and collaborative. The MP who secured the debate speaks first, other MPs can contribute, and a minister responds with the government's position.