Ofgem requests 12 energy suppliers improve direct debit levels of SVT customers

Article summary

Ofgem has requested that 12 energy suppliers, take immediate and urgent action to improve the direct debit levels for Standard Variable Tariff (SVT) customers. The request follows Ofgem's Market Compliance Review, which found a range of weaknesses in the way the suppliers charged SVT customers direct debits. Ofgem is expecting the 12 suppliers in question to submit action plans to address the weaknesses identified and to review the direct debits of all customers who had their direct debit increased by 100% or more between 1 February and 30 April. Ofgem expects the suppliers to take their market compliance review into consideration and plan for the next price cap period, due to be effective on 1 October 2022, to ensure that any future changes to customer direct debits are appropriate and communicated clearly.