Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, pursuant to the Answer of 15 May 2024 to Question 25717 and to the Answer of 10 May 2024 to Question 24573 on Energy: Debts, whether an allowance for servicing consumer debt was permitted by Ofgem in any period before April 2024.
The Energy Price Guarantee (EPG) has never included an allowance for bad debt held by suppliers. All funding was used to apply a unit rate discount to household tariffs.
Ofgem have always included within the standing charges element of the Default Tariff Cap (Price Cap) some element to account for consumer debt held by suppliers.