2nd October 2008
More business groups have expressed concerns that a new energy watchdog will leave small businesses unprotected.
Consumer Focus was launched by the Government on 1 October, replacing the National Consumer Council, Energywatch and Postwatch.
However, many business groups have repeated previous criticisms that the new watchdog will not cater adequately for the needs of business owners.
David Frost, director-general of the British Chambers of Commerce, said that his organisation was "disheartened by the lack of any real assistance for business."
"Consumer Focus' remit does not cover businesses, meaning the 30,000 complaints from companies to Energywatch and 7,000 to Postwatch will no longer be handled," he said.
As part of Ofgem's new complaints handling system, businesses are now expected to complain directly to their energy companies.
"Given the examples given by our members, this is not an enticing prospect," said Phil McCabe from the Forum of Private Business.
"Under Energywatch, firms had a dedicated helpline for advice on what to do," he told More Than Business News. "There is Consumer Direct, which is an advice service operated by the Office of Fair Trading, but it isn't dedicated to small businesses."
"And businesses with more than 10 employees, who don't meet the energy use and turnover criteria, will have to fight these energy companies alone."
Responding to the criticisms, a spokesperson for Consumer Focus told More Than Business News: "We want to identify which businesses are vulnerable and where we can make a difference.
"We have commissioned a unique study on the consumer experience of micro-enterprises to identify the need for action."
More business groups voice concern over energy watchdog
Consumer Focus was launched by the Government on 1 October, replacing the National Consumer Council, Energywatch and Postwatch.
However, many business groups have repeated previous criticisms that the new watchdog will not cater adequately for the needs of business owners.
David Frost, director-general of the British Chambers of Commerce, said that his organisation was "disheartened by the lack of any real assistance for business."
"Consumer Focus' remit does not cover businesses, meaning the 30,000 complaints from companies to Energywatch and 7,000 to Postwatch will no longer be handled," he said.
As part of Ofgem's new complaints handling system, businesses are now expected to complain directly to their energy companies.
"Given the examples given by our members, this is not an enticing prospect," said Phil McCabe from the Forum of Private Business.
"Under Energywatch, firms had a dedicated helpline for advice on what to do," he told More Than Business News. "There is Consumer Direct, which is an advice service operated by the Office of Fair Trading, but it isn't dedicated to small businesses."
"And businesses with more than 10 employees, who don't meet the energy use and turnover criteria, will have to fight these energy companies alone."
Responding to the criticisms, a spokesperson for Consumer Focus told More Than Business News: "We want to identify which businesses are vulnerable and where we can make a difference.
"We have commissioned a unique study on the consumer experience of micro-enterprises to identify the need for action."
Tags: Regulations
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