Question to the Department for Energy Security & Net Zero:

To ask the Secretary of State for Energy Security and Net Zero, what steps he has taken to protect residential consumers from being charged Business Rate electricity tariffs for communal areas; and what mechanisms exist to challenge such classifications.

Communal areas in apartment blocks are charged on a non-domestic energy contract as the organisation who is responsible for them is a business.

A Call for Evidence regarding domestic customers with a non-domestic energy supply was published in July 2023 and explored the advantages and disadvantages of these arrangements. The responses highlighted the complexity of energy supply and contract arrangements, and due to the physical set-up of these residences, the majority of these consumers will continue to receive their energy via a non-domestic contract. The Call for Evidence is now closed, and a summary of responses was published in April 2024.

Ofgem is taking action to ensure these consumers are protected by raising awareness of the Maximum Resale Price direction, and planning work with network companies to produce a clear route for vulnerable consumers to be added to the Priority Services Register.