Business consumers should benefit from the same level of protection afforded to domestic customers when it comes to exposing hidden fees and mis-sold contracts.
That’s the verdict of Business Energy Claims’ campaigning CEO Callum Thompson after new legislation demanded travel websites and ticketing platforms provide greater transparency.
It is estimated that hidden fees cost UK consumers £2.2bn each year but the Digital Markets, Competition and Consumer Act — which came into force earlier this month — seeks to clamp down on underhand dealing.
And now Callum wants to see the same rules apply to a business energy market that remains unregulated and arguably unfit for purpose.
“Right now it feels like there are key issues in the energy market that are being ignored and the lack of protection for business customers is just one area of concern,” he said.
“In the consumer market there is a spotlight and an emphasis on safeguarding consumers from hidden charges. That doesn’t really apply in the business to business energy market.
“The Digital Markets, Competition and Consumer Act is a positive step forward for domestic consumers. I would urge the government to apply the same level of protection to business consumers.
“The energy market, in particular, is fragmented and it appears that this is overlooked in what we believe is a multi billion pound problem for vulnerable UK businesses.”
The Department for Business and Trade found that 45% of service providers in the entertainment sector engaged in dubious practices around hidden fees.
Justin Madders, minister for competition and markets, said: “From April 7 consumers can make purchases knowing they are protected.”
Protection from hidden fees is needed for business owners
But Callum can’t understand why similarly unscrupulous pricing practices aren’t being investigated within an energy sector plagued by mis-selling and hidden fees.
“When business consumers see new legislation around travel websites and ticketing platforms many will assume the same rules and regulations apply to the energy market,” he added.
“I worry that many simply won’t be aware of the possibility of mis-selling or hidden charges in the energy market as a result of a lack of regulation.
“Business owners might assume they’re automatically protected. Sadly that’s simply not the case.”
Business Energy Claims boasts a strong track record of supporting businesses that have been affected by hidden fees and mis-selling.
And Callum’s expert team continues to claw back thousands of pounds owed to firms that have fallen victim to unscrupulous brokers.
“Until businesses are protected by the same legislation that benefits the domestic market they remain at the mercy of third party intermediaries,” he added.
“We are determined to steer business owners through confusing contracts and help to improve energy literacy until things change.”