Responses to Ofgem’s statutory consultation 'enabling consumers to make informed choices'
As Citizens Advice set out in our response to the initial Informed Choices consultation, we generally support the new principles that Ofgem proposed for sales and marketing. These are a necessary adjustment as the RMR ‘simpler choices’ rules are removed, and will force suppliers to consider how they design and market products using the new tariff freedoms.
The energy industry must not repeat the mistakes of the past, when the market was characterised by tariff proliferation and poor face-to-face sales tactics. As a result, we support the strong threshold for these principles, and welcome Ofgem using this consultation to set out more detail about how they will be enforced.
We remain concerned [ 250 kb] that the drafting of one principle could allow suppliers to recommend products to consumers which do not suit their needs, and set out how we think this should be amended. We also argue that Ofgem should not remove the requirement to confirm contracts made during face-to-face sales. We continue to see evidence of mis-selling to consumers through this sales channel, and consider that this requirement is an important backstop protection against these problems.