Frequently Asked Questions
A business energy claim allows businesses to seek compensation if they were mis-sold their energy contract by an energy broker. This could include hidden fees, inflated commission charges, or a lack of transparency in the broker’s recommendations.
You may be eligible if you used an energy broker to secure your energy contract and suspect that they misrepresented fees, commissions, or contract terms. Key indicators include a lack of written fee disclosures, a single tariff presented as the best option, or a contract that locks you into long terms without clear explanation.
Typically, you’ll need your contract start and end dates, annual energy usage, energy unit costs, broker information, distributor ID, and any information regarding commission or fees the broker may have charged.
Claims can vary in duration, but on average, they take between 6-12 months from the submission date. Some straightforward cases may resolve more quickly, while complex cases might take longer.
Compensation depends on several factors, including the contract’s length, your annual energy costs, and the extent of mis-selling. Some claims recover up to 20% of the previous energy bills, while others may settle for a negotiated reduction or an early contract termination.
Legal assistance is not required but is often beneficial to navigate the complexities of the claims process. Many consultancies offer specialized services to handle claims on your behalf, often working on a no-win, no-fee basis.
Many energy claims consultancies work on a contingency fee basis, taking a percentage of the compensation you receive. Typical fees range from 20-30% of the total claim settlement
In some cases, a claim can lead to renegotiated terms or even allow you to exit the contract. However, this depends on the outcome and the terms of your current contract. Until a resolution is reached, your contract remains valid.
Even if your energy broker is no longer in business, claims can still be pursued directly against the energy supplier, as the contract is with them and not exclusively with the broker.
Changing needs won’t affect eligibility but may impact compensation if your usage or circumstances have changed significantly. Compensation assessments will be based on the contract as it was when the alleged mis-selling occurred.