If your business has received a demand for broker commission on an energy contract that never went live, you may have seen recent developments involving the Energy Consultants Association (ECA).
What has been announced?
The ECA’s announcement
On 6 October 2026, the ECA published a statement confirming that John Haw was stepping down as Interim Chair.
The association thanked him for his contribution as one of its founding members and confirmed that an announcement regarding a new Interim Chair would be made in the coming weeks. The ECA also stated that the process of appointing a new Chair had begun.
The LinkedIn post
In a separate LinkedIn post, John Haw stated that the ECA’s entire Executive Committee had stepped down.
According to the post, the committee reached its decision following discussions regarding the ECA’s directors and their association with PreAction. The post states that the Executive Committee unanimously concluded that PreAction’s commercial interests and market position conflicted with the principles on which the ECA was founded, and that it could not continue to lead the organisation in its current structure.
The post further states that the committee remains committed to supporting the broker community and ensuring the sector continues to have an independent voice within Government and Ofgem discussions.
We have not independently verified the contents of either the ECA’s statement or the LinkedIn post and make no comment on the position of any organisation or individual referred to within them. As the situation continues to develop, businesses should refer directly to the ECA’s website and official LinkedIn page for updates.
What is the Energy Consultants Association?
The Energy Consultants Association (ECA) describes itself as an independent, not-for-profit trade body representing energy consultants, brokers and third-party intermediaries (TPIs) across the UK.
According to its website, the association aims to:
- Represent the interests of members with Government, regulators and industry stakeholders.
- Promote professional standards and best practice within the sector.
- Provide members with industry insight, training and educational resources.
- Require members to comply with a code of conduct.
Why does this matter?
For businesses that have received commission demands relating to energy contracts that never went live, developments within a trade association can attract attention. However, they do not alter the legal position.
Whether a commission claim is enforceable depends on the terms of the broker agreement, the surrounding circumstances, and the facts of the individual case. That remains true regardless of who is making the demand or any developments within the industry.
What we are seeing
We are seeing a growing number of businesses being pursued for so-called “lost commission” following the cancellation or failure of an energy contract.
Many of these claims are now being pursued by third-party recovery firms, including PreAction and SGS Enforcement, rather than by the broker itself. The sums claimed can range from a few hundred pounds to well over £150,000.
Typically, the claim alleges that the business is liable for commission the broker expected to earn had the energy supply contract proceeded. The claimant will often argue that their loss arises from a breach of the broker agreement.
These claims frequently rely on terms and conditions that businesses may not have seen for several years or may not have been clearly explained at the point of sale.
Why these letters feel so daunting
PreAction and SGS Enforcement correspondence is designed to encourage a prompt response.
Letters often set short deadlines, refer to possible court proceedings and warn of interest, legal fees or enforcement action if payment is not made. Unsurprisingly, many business owners feel under pressure to settle before fully understanding their legal position.
It is important to remember that a pre-action letter is not a court judgment, nor does it automatically mean the claim has merit.
Rather, it is an opportunity to investigate the claim, review the evidence and obtain independent legal advice before responding.
FAQs
Every case is different, but the following issues are often critical:
- What does the agreement actually say?
Is there a clause requiring payment of commission if the energy contract does not go live? If so, is the wording clear and enforceable? - Were the terms properly explained?
Were the broker’s terms and conditions provided before the agreement was entered into? Was the commission arrangement made sufficiently clear? - Why did the contract fail?
Did the agreement fail because of an existing supply contract, a change in business circumstances, supplier issues, or another reason entirely? - How has the claim been calculated?
Is the amount supported by evidence? Has the claimant shown how the figure was calculated and whether VAT or other costs have been included? - Who is bringing the claim?
If the claim has been transferred or assigned, does the company pursuing payment have the legal right to do so?
Do not proceed without taking advice
Many businesses pay these demands simply to make the problem disappear. In some cases, this happens before the underlying legal basis of the claim has been properly examined.
If you receive a letter demanding commission, we recommend that you:
- Do not ignore it. Respond within the stated deadline.
- Do not admit liability or make payment without taking legal advice.
- Locate your broker agreement and any related emails, quotes or recordings.
- Keep copies of all correspondence received from the broker or recovery company.
- Obtain independent legal advice before responding.
How we can help
Business Energy Claims can introduce you to our panel law firm, who specialise in defending businesses against broker disputes. They offer a fixed-fee service covering a full review of your documents, clear advice on where you stand, and preparation of a formal response to the broker, with no hidden costs.
The legal team can:
- Review your broker agreement and supporting documents.
- Assess the strengths and weaknesses of the claim.
- Require the claimant to provide evidence supporting its position.
- Draft and send a formal response on your behalf.
- Represent you in negotiations or court proceedings where necessary.
Our panel law firm recently acted for a client facing a substantial lost commission claim that was ultimately dismissed at trial. You can read more about our approach in our blog: The broker lost commission trap catching UK businesses off guard
Fixed-fee support
We believe businesses should know where they stand from the outset, therefore, our panel law firm’s fixed-fee service provides:
- A detailed review of your documents.
- Clear advice on your legal position.
- A formal response to the claimant.
- Transparent pricing with no hidden costs.
Get in touch
If you have received a broker commission demand, don’t assume you have to pay it.
Contact Business Energy Claims for an introduction to our specialist solicitors.