Social Tarriffs - New rules - must be best deal

*MF*

Extracts::

Energy regulator Ofgem has today (Friday) moved to clear away confusion surrounding social tariffs – energy deals for vulnerable customers and fuel poor customers (those spending more than a tenth of their income on energy).

Ofgem’s new guidelines provide more clarity and certainty on what will be counted towards this increased social expenditure and they set a tighter definition for social tariffs. The regulator has specified that in future, for a supplier’s social tariff to count as such against their spend commitments it must be as good as the lowest tariff they offer to customers in that area, including online deals. This means that vulnerable and fuel poor customers who struggle most to pay their energy bills will be assured of being on the best deal their supplier offers in their area.

Some consumers may still be able to get a better deal by switching to another supplier, particularly if they are also able to change payment method. That is why it still pays to shop around. But for customers who are unlikely or unable to switch and are eligible for a social tariff this ruling means they can be assured they will be on their supplier’s best deal.

From here:

http://www.ofgem.gov.uk/Media/PressRel/Documents1/Social%20Spend%20release%20final.pdf