Citizens Advice claims Ofgem neglected market risks

Citizens Advice, a UK-based charity that provides free advice and support to consumers, has claimed that the energy regulator Ofgem has neglected market risks, leading to higher energy bills for consumers.

According to a report published by Citizens Advice, Ofgem has failed to take action against energy companies that have been overcharging customers on default tariffs. The report also claims that Ofgem has not done enough to promote competition in the energy market, which has resulted in a lack of choice for consumers.

The report highlights the fact that energy bills have risen by 40% over the past decade, with the average household now paying £1,254 per year for gas and electricity. Citizens Advice argues that Ofgem has not done enough to protect consumers from these rising costs.

The charity has called on Ofgem to take action to address these issues, including introducing a cap on default tariffs and promoting competition in the energy market. Citizens Advice has also called for greater transparency in the energy market, with energy companies required to provide clearer information about their tariffs and prices.

Ofgem has responded to the report, stating that it is committed to promoting competition in the energy market and protecting consumers from overcharging. The regulator has also defended its decision not to introduce a cap on default tariffs, arguing that this would not be in the best interests of consumers.

However, Citizens Advice has argued that Ofgem needs to do more to address the issues highlighted in the report. The charity has called for greater accountability and transparency from the regulator, as well as more action to promote competition and protect consumers from overcharging.

Overall, the report highlights the need for greater regulation and oversight in the energy market, in order to protect consumers from rising costs and ensure that they have access to affordable and reliable energy. Citizens Advice has made a strong case for action, and it is now up to Ofgem to respond to these concerns and take steps to address the issues raised in the report.