An update on Broker ADR

Ombudsman Services | Last updated Jun 24, 2021

Ofgem are currently undertaking a statutory consultation on its microbusiness strategic review. Part of the packages of measures proposed is the provision of alternative dispute resolution (ADR) services for microbusinesses to raise complaints about brokers in the energy sector. David Pilling, Head of Policy & Public Affairs provided the following update:

“We are working with Ofgem, energy suppliers and brokers to understand how an ADR scheme can provide redress to microbusinesses and help energy brokers improve complaints handling processes and the services they provide to microbusinesses. We think that the ADR scheme would be run in a similar way to how Ombudsman Services currently work with energy providers. There are many things to be determined such as: how the scheme would best be run, how it will be funded in a fair way, the level of information and support that energy brokers may need when joining the scheme, the interactions between brokers and energy suppliers on complaints, and a register of energy brokers who are on the ADR scheme.

We will continue to play our part in shaping a scheme that works, is cost effective and helps to build consumer trust and confidence in the energy sector.”

We will provide further updates as we learn more through our continued work with Ofgem.