Energy Consumer Law for Households

Know Your Rights When Dealing With Energy Suppliers

Energy suppliers have rules they must follow.

These rules cover things such as:

  • Billing
  • Payments
  • Switching
  • Complaints
  • Prepayment meters
  • Debt
  • Customer service
  • Vulnerable customers
  • Credit balances

In addition, wider consumer law protects you from unfair or misleading sales and poor service.

So, if something goes wrong, you do have rights.

This page gives a simple overview.

Please note: This is general information, not legal advice. Most of this page explains the rules in Great Britain — England, Scotland and Wales. Northern Ireland has a different energy market, so we explain that separately near the end.

Who Regulates Household Energy?

In Great Britain, Ofgem regulates the gas and electricity market.

Its role includes protecting energy customers and making sure licensed suppliers follow the rules. (Ofgem)

However, Ofgem does not normally deal with individual complaints between a customer and supplier.

Instead, you usually complain to the supplier first.

If the problem is not put right, you may then be able to take it to the Energy Ombudsman.

Suppliers Must Treat You Fairly

Energy suppliers must follow Ofgem’s licence rules.

A key part of those rules is fair treatment.

In practice, suppliers should deal with customers in a way that is clear, fair and easy to understand. Ofgem can take action where suppliers fail to meet their duties. (Ofgem)

So, for example, suppliers should not hide important information or make it needlessly hard for you to understand your account.

Wider Consumer Law Also Protects You

Energy rules do not sit on their own.

Normal consumer law also applies.

For example, the Consumer Rights Act 2015 says that services should be carried out with reasonable care and skill. (Legislation.gov.uk)

Meanwhile, the Digital Markets, Competition and Consumers Act 2024 now contains rules against unfair commercial practices.

These include misleading actions, misleading information and aggressive sales behaviour. The newer rules came into force on 6 April 2025. (GOV.UK)

So, if an energy company sells something to you, it must still follow normal consumer law as well as energy rules.

Your Right to Clear Information

Before agreeing to an energy tariff, you should be given important information about the deal.

For example, this can include:

  • Prices
  • Contract length
  • Payment method
  • Exit charges
  • Main terms
  • How the tariff works

This matters because you need enough information to make a fair choice.

Therefore, if a deal is sold using unclear or misleading information, consumer protection rules may apply. (GOV.UK)

Your Energy Bill Should Be Accurate

Your supplier should bill you for the energy you use.

Where possible, actual meter readings help keep bills accurate.

However, bills can sometimes be based on estimates.

So, if a bill looks wrong, check:

The meter reading

Whether it is estimated

The unit rate

The standing charge

The dates covered

Then, compare those details with your meter and tariff.

If there is a mistake, contact your supplier and ask them to correct it.

Back-Billing Rules

Sometimes, a supplier discovers that it has not charged you correctly for energy used a long time ago.

This is known as back-billing.

In Great Britain, suppliers cannot usually charge a household for energy used more than 12 months earlier if the customer was not correctly billed for that energy and the customer did not prevent the supplier from billing properly. (Ofgem)

However, there are exceptions.

For example, the rule may not protect someone who deliberately prevented accurate billing.

Therefore, if you suddenly receive a very old bill, do not assume you must simply pay it.

First, check whether the back-billing rules apply.

Direct Debit Payments

Many households pay by fixed monthly Direct Debit.

Your supplier normally estimates how much you are likely to use across the year and spreads the cost into regular payments.

However, the supplier should be able to explain how your Direct Debit amount was worked out. Ofgem’s licence guidance also says suppliers must refund built-up credit when requested unless there are reasonable grounds not to do so. (Ofgem)

So, if your Direct Debit suddenly rises, ask why.

Then check:

  • Your current balance
  • Your recent energy use
  • Your expected yearly use
  • Your tariff
  • Any debt on the account

If the amount does not make sense, challenge it.

Credit Balances

Sometimes, you may pay more into your energy account than you actually owe.

As a result, your account builds up credit.

You can ask your supplier to refund that money.

However, a supplier may sometimes have a good reason to keep some credit — for example, because higher winter use is expected.

If so, it should explain why. (Ofgem)

So, check your balance from time to time.

Large credit balances should not simply be ignored.

The Energy Price Cap

In Great Britain, Ofgem sets an energy price cap for standard variable and default tariffs.

The cap limits the maximum unit rates and standing charges that suppliers can charge under those tariffs. (Ofgem)

However, the cap is not a limit on your total bill.

If you use more energy, you will still pay more.

Likewise, if you use less, you should pay less.

So, think of the cap as:

A limit on the price per unit and standing charge

not:

A maximum household bill

Fixed tariffs are normally outside the cap while the fixed deal lasts. (Ofgem)

Your Right to Switch Supplier

In a competitive energy market, households can normally choose their energy supplier.

However, your contract may include an exit fee if you leave a fixed deal early.

Therefore, before switching:

First: check your current tariff.

Next: check whether an exit fee applies.

Then: compare the new deal.

Finally: decide whether switching still makes sense.

A supplier should not unfairly block a valid switch.

Switching Does Not Change the Pipes and Wires

Changing supplier does not normally change the physical energy network serving your home.

For electricity, the local network company still operates the local wires.

Likewise, the gas network still carries gas to the property.

Only the company that sells and bills you for the energy changes.

Therefore, switching supplier should not require new electricity cables or gas pipes simply because you changed tariff.

If You Are in Energy Debt

Being in debt does not remove your rights.

Suppliers are expected to offer support to customers who are struggling.

For example, this can include discussing a repayment plan that takes account of your ability to pay. Ofgem advises customers who are worried about bills to contact their supplier early because suppliers must offer support. (Ofgem)

Therefore, if you cannot afford a proposed repayment amount, say so.

Do not agree to something that you already know you cannot maintain.

Instead, explain your income and essential spending.

Then ask the supplier to look again.

Prepayment Meter Rights

Prepayment meters have extra rules because losing credit can leave someone without energy.

Ofgem’s rules say that suppliers must act fairly and responsibly when using prepayment meters to recover debt.

Involuntary installation or remote switching should be a last resort. (Ofgem)

In addition, extra protections apply to some vulnerable households.

For example, Ofgem introduced protections preventing forced prepayment installation in certain homes, including some households with older people or very young children. (Ofgem)

So, if a supplier says it plans to force a prepayment meter on you, do not assume it can simply do so without checks.

Emergency and Extra Prepayment Credit

Prepayment customers may also have access to different forms of support credit.

For example, licence rules include:

Emergency Credit

Friendly-hours Credit

and, for some vulnerable customers:

Additional Support Credit. (Ofgem)

However, some support credit may need to be repaid.

Therefore, ask your supplier how the credit works and how repayment will be taken.

Disconnection Is Heavily Controlled

Domestic disconnection for debt is subject to strict rules.

In practice, suppliers are expected to consider a customer’s situation and use other ways of dealing with debt first.

That is especially important where someone may be vulnerable.

Therefore, if you are threatened with disconnection, contact the supplier immediately and seek independent advice.

Do not ignore the letter or message.

Priority Services Register

Some customers can receive extra help through the Priority Services Register.

This may apply where someone:

  • Is older
  • Has a disability
  • Has a health condition
  • Needs powered medical equipment
  • Has difficulty communicating
  • Has other support needs

The exact support depends on the situation.

So, if you or someone in your household may need extra help, ask your supplier and network company about joining.

Smart Meter Rights

Smart meters are also covered by supplier rules.

If your smart meter is not working properly, contact your supplier.

Ofgem introduced stronger smart-meter service rules, including requirements around installation appointments, plans for fixing some faults and compensation in certain cases. (Ofgem)

So, if your meter has stopped working in smart mode, do not assume you simply have to live with it.

Report the problem and keep a record of when you did so.

If Your Supplier Goes Bust

If an energy supplier fails, your gas or electricity should not be cut off.

Ofgem has a safety-net process that moves customers to another supplier.

Domestic customer credit balances are also protected. (Ofgem)

Therefore, if your supplier collapses:

Do not panic.

Take a meter reading.

Keep a copy of your latest bill.

Then wait for Ofgem to announce the replacement supplier before making unnecessary changes.

Your Right to Complain

If you are unhappy with your supplier, you have the right to complain. (Ofgem)

First, contact the supplier and say clearly that you are making a complaint.

Then keep a record of:

  • Dates
  • Names
  • Emails
  • Letters
  • Meter readings
  • Bills
  • What was agreed

This can be very useful if the complaint later needs to go further.

Taking a Complaint to the Energy Ombudsman

If your supplier cannot resolve the complaint, you may be able to use the Energy Ombudsman.

At present, the normal waiting period is still 8 weeks, unless the supplier sends you a deadlock letter sooner. (Energy Ombudsman)

The government has decided that this period will fall to 6 weeks, but that change has not yet replaced the current 8-week rule. (GOV.UK)

The Ombudsman service is free and independent.

Depending on the case, it can require a supplier to take steps to put things right.

What Is a Deadlock Letter?

A deadlock letter means the supplier says it cannot resolve your complaint to your satisfaction.

If you receive one, you normally do not need to wait for the full 8 weeks.

Instead, you can take the complaint to the Energy Ombudsman sooner. (Energy Ombudsman)

So, keep the letter.

You may need it when you raise the case.

Ofgem Does Not Usually Resolve Individual Complaints

This is an important point.

Ofgem sets and enforces the rules for the energy market.

However, it does not normally act as the complaints service for individual customer disputes.

Instead:

Supplier → Energy Ombudsman

is usually the normal complaint route.

Ofgem, meanwhile, uses wider evidence about supplier behaviour to regulate the market.

Problems With the Network

Not every energy problem is the supplier’s responsibility.

For example, if there is a local power cut, the electricity network operator may be responsible rather than your supplier.

Likewise, gas network problems may fall to the local gas network company.

Therefore, first work out:

Is this a supplier problem?

or:

Is this a network problem?

Ofgem’s complaint guidance also makes this distinction. (Ofgem)

Compensation for Some Supply Problems

There are rules that can provide compensation for certain supply and network problems.

For example, compensation may sometimes be due following particular power cuts or failures to meet set service standards.

The exact rules depend on what happened.

Therefore, if you experience a long power cut or another serious supply problem, check whether compensation applies. (Ofgem)

Mis-Selling and Unfair Sales

Energy suppliers and companies selling on their behalf must not use unfair sales methods.

For example, consumer law can cover:

  • Misleading prices
  • False claims
  • Leaving out key information
  • Aggressive sales
  • Pressure tactics
  • Misleading comparisons

The current unfair-trading rules are found in the Digital Markets, Competition and Consumers Act 2024. (GOV.UK)

So, if you agreed to a deal because important information was false or hidden, keep the evidence and seek consumer advice.

Contracts Should Be Fair

Consumer contracts cannot simply contain any terms a company chooses.

The Consumer Rights Act contains rules on unfair terms in consumer contracts. (Legislation.gov.uk)

Therefore, a written term is not automatically fair simply because it appears in small print.

If you think a contract term is unfair, you can seek advice before accepting the supplier’s view.

Northern Ireland Is Different

Northern Ireland has a separate energy market.

Therefore, Ofgem’s Great Britain rules do not simply apply in the same way.

The Utility Regulator regulates electricity and gas in Northern Ireland, while the Consumer Council for Northern Ireland provides advice and can help with unresolved energy complaints. (Consumer Council)

Northern Ireland suppliers must also follow local codes covering areas such as:

  • Complaint handling
  • Paying bills
  • Energy debt
  • Prepayment meters
  • Customer support (Utility Regulator)

Therefore, if you live in Northern Ireland, use Northern Ireland-specific guidance rather than relying only on Great Britain information.

A Simple Complaint Route

If something goes wrong, keep the process simple.

First: check your bill, meter and contract.

Next: contact the supplier.

Then: clearly state that you are making a complaint if the issue is not fixed.

After that: keep copies of all evidence.

Next: ask for a deadlock letter if the supplier says it can do no more.

Finally: take the case to the Energy Ombudsman when you are eligible.

If you live in Northern Ireland, follow the supplier’s complaints process and then contact the Consumer Council if the problem remains unresolved. (Consumer Council)

Your Key Energy Rights

In simple terms, household energy customers have important protections.

You have the right to:

  • Be treated fairly
  • Receive clear information
  • Challenge incorrect bills
  • Use back-billing protection where the rules apply
  • Ask about a credit refund
  • Get help if you are struggling to pay
  • Receive extra support if you are vulnerable
  • Complain about poor service
  • Take unresolved disputes further
  • Be protected if your supplier fails

However, the exact legal position depends on the facts.

So, when a serious dispute arises, keep your paperwork and get independent advice where needed.

Quick Summary

Energy law can sound complicated.

However, the main idea is much simpler:

Your supplier must treat you fairly.

First, check what you have been charged.

Next, check your contract and meter readings.

Then, question anything that does not look right.

If you are struggling to pay, ask for help early.

Meanwhile, if you need extra support, ask about the Priority Services Register.

Finally, if a complaint cannot be resolved, use the formal complaint process and take it further when needed.

Most importantly:

Do not assume that an energy company’s first answer must be the final answer.

Understand your rights.

Keep good records.

Then challenge problems when something does not look right.

Energility

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