Question to the Department for Business, Energy and Industrial Strategy:

To ask His Majesty's Government what instructions they have given to Ofgem on ensuring that the costs of failed energy firms do not fall more heavily on vulnerable customers and single person households.

The costs of failed energy firms have contributed to an increase in standing charges. The energy regulator, Ofgem, reviewed whether the existing fixed charge was appropriate or whether a usage-based (volumetric) alternative would be more suitable.

Ofgem concluded that while some low consuming users, some of whom may be vulnerable, might benefit from change, there are a number of higher consuming users including vulnerable users that would pay more.

Ofgem’s current methodology protects users with greater energy needs, such as disabled users and users with electric heating in areas off the gas grid.