If you buy your business gas or electricity through a broker or a comparison site, change is coming. Unlike mortgage or insurance advisers, energy middlemen have been largely unregulated, and The Guardian reported on 4th November 2026 that the Energy Independence Bill, due to be introduced that day, would give Ofgem powers to order compensation, impose fines and ban rogue operators.
What the government has said
The government's response on regulating third-party intermediaries sets out the plan:
- Ofgem becomes the regulator for brokers and similar firms, starting with "energy procurement".
- Ofgem can set principles and rules, monitor and investigate firms, and order redress.
- Firms will have to register, including checks that their decision makers are "fit and proper".
- After a 12 to 18 month sunrise period, it becomes illegal to arrange energy contracts without Ofgem authorisation.
Ofgem has already started a market review to understand how the sector works. Its concerns include mis-selling, pressure selling, low transparency and incentives that don't always serve the customer.
What it means for you
Nothing changes overnight, and the new rules will take time to arrive. But you don't need to wait to protect yourself. Before you sign your next contract, ask:
- How is the person advising me paid, and how much of my unit rate is commission?
- How many suppliers did they actually compare?
- Does the contract end date, notice period and price match what I was told?
With wholesale prices rising this autumn, many renewals are being agreed under pressure, which is exactly when these questions matter most.
If you'd like a second pair of eyes on a quote or a contract you've already signed, I'm happy to have a quick, no-obligation chat.
- Compliance
- Energy procurement
- Energy brokers
- UK business
Want to know what this means for your business?
Book a free energy review
