The UK’s energy regulator Ofgem has convened with the water watchdog Ofwat to launch data-sharing proposals designed to support the UK’s most vulnerable consumers.
The two regulatory bodies have unveiled plans to begin sharing data on the priority services register (PSR), a list of information about vulnerable customers who may need priority service support in the event of utility interruption or extra help with bills due to a disability or other difficult circumstances.
The improved data-sharing proposals aim to ensure that PSR-eligible consumers need only tell one regulatory body, supplier, or distributed network operator (DNO) about their circumstances and then receive the necessary support from all relevant bodies.
The regulators are also asking their relevant sectors to revamp their customer service approach in order to address failings in the system that may be harming vulnerable consumers.
Research from Ofgem suggests that as many as 40% of UK households could be eligible for PSR support but have yet to sign up, while Ofwat estimates that 17% of households are unaware of the PSR system for water.
All of the UK’s DNOs and water companies have put in place the changes needed to begin this fully connected data-sharing system. Meanwhile, eight of the UK’s energy suppliers, collectively representing around 85% of the population, have made the necessary changes, with work to rollout this system to the remaining suppliers well underway.
Jonathan Brearley, Ofgem chief executive, said: “It has been, and continues to be, an incredibly difficult time for many households. So it’s vital that we work together to challenge ourselves to offer better support – sharing learnings from across all sectors and driving meaningful change.
“The data sharing progress we have seen in the energy and water sectors demonstrates what is possible, but we know more can be done. We need a ‘tell us once’ model that operates across multiple sectors, so people are supported holistically.
“We’ll continue to work closely with government, consumer groups and charities, and industry to make sure we are there for vulnerable consumers, this winter and beyond.”
Ofgem publishes Consumer Vulnerability Strategy consultation
Ofgem has also published a consultation on its Consumer Vulnerability Strategy, a proposal examining the ways in which the energy sector can best support consumers at increased risk from the meteoric rise in energy bills.
The regulator is aiming to focus on four key areas to enhance its support for vulnerable consumers. These include improving data analysis to better identify and assist vulnerable consumers, offering more support to those struggling to understand or pay their energy bills, ensuring that communication from energy firms is more accessible to all consumers, regardless of circumstances, and boosting technological innovation positively and inclusively.
Additionally, Ofgem has launched its Consumer Confidence proposals, seeking to improve consumer satisfaction with energy suppliers. Suggestions revealed as part of this include limting how far back customers can be charged for energy use when the error was the fault of a supplier, reviewing overall supplier billing practices, and considering the adoption of a model similar to the Financial Conduct Authority’s Consumer Duty.
These announcements follow the launch of Ofgem’s call for input into standing charges for energy bills after more than 30,000 consumers overwhelmingly argued that standing charges should be reduced or abolished.