Ofgem orders UK Energy Incubator Hub to address its poor customer service and complaints handing processes
Press release
Ofgem is issuing UK Energy Incubator Hub Ltd (formerly Euston Energy) with a provisional order, compelling them to take action to ensure that their customer service arrangements and processes are complete, thorough and fit for purpose, including:
- Ensuring customers can easily contact them via telephone and email, and that complaints are resolved in a timely manner.
- Ensuring that customer complaint remedies which have been determined by Ombudsman Services are implemented without delay.
- A ban on taking on new customers until the above are resolved.
- Provisional orders are issued in certain circumstances in accordance with the statutory framework and where certain conditions are satisfied. Further information regarding provisional orders is contained within Ofgem’s Enforcement Guidelines.
UK Energy Incubator Hub Ltd is a domestic energy supplier, serving approximately 3000 customers, and operating under two brands, Northumbria Energy and Neo Energy.
UK Energy Incubator Hub Ltd is now required to comply with the requirements of the provisional order and we expect them to engage with Ofgem in a constructive manner.
Failure to comply with a provisional order may result in further enforcement action being taken by Ofgem which could include UK Energy Incubator Hub Ltd being stripped of its licence to operate in the GB market and/or facing a financial penalty.
Ofgem Director of Enforcement and Emerging Issues, Cathryn Scott, said: “Our top priority at Ofgem is to protect consumers and make sure we are holding suppliers of essential services like energy to the highest of standards. Where this is not happening, we will not hesitate to act.”
Notes to editors
- The obligation for licensees to comply with these licence conditions is enforceable by the Authority (Ofgem) as a relevant condition for the purposes of section 25 of the Electricity Act 1989 and section 28 of the Gas Act 1986. If the Authority considers that a licensee has contravened (and continues to contravene) a licence obligation, it may take enforcement action.
- Compliance and enforcement - Investigations, orders and penalties