Many UK businesses have been affected by unfair practices in energy contracts, leading to opportunities for mis-sold energy claims. If you suspect your business has overpaid due to hidden commissions or other issues, it’s worth checking if you qualify for compensation from suppliers or brokers.
What Are the Criteria for a Business Energy Claim (BEC) ?
- Claimant must be trading It is not possible to make a claim if the company or organisation who paid for the energy is no longer trading, however, insolvency practitioners and administrators could pursue a business energy claim if they believe this will help collect more money for the creditors of the business.
- Defendant must be approved energy company and/or energy broker As Energy in the UK is regulated by Ofgem, most companies should meet this criteria but it is always worth checking who the parties involved were and whether they owe a fiduciary duty. This is key when considering a claim against energy brokers who may have failed in their responsibilities.
- Minimum claim value of £10,000 This is not a hard and fast rule and largely depends on the individual circumstances. Cases below £10,000 are hard for solicitors to litigate on as the costs cannot be recovered, however, we would not let this dissuade us from investigating a claim for you as we do believe that a lot of smaller value energy contracts carried very high undisclosed commissions. The more people that raise complaints against specific energy providers, the more chance we can build a cohort to pursue a group action.
If in Doubt, Make an Enquiry
You have nothing to lose, our team can advise you on the next steps and you won’t be charged. We operate on a no win, no fee basis meaning we only charge fees when claims are successful which are fully disclosed at the outset. Schedule a call today.
What Documentation Will We Need to Obtain?
- Minimum: x1 energy bill (but the more the better)
- Copy of the energy contract between the Claimant and the energy company. (If the contract clearly states the LEVEL of commission, then it will not meet criteria. This is only the case on very recent contracts)
- Evidence of broker (This can be an historic email between the claimant and the broker or any documents that evidence the broker’s presence)
We can try and obtain documents on your behalf, however having dealt with business energy claims since 2023, it is much more efficient if the client obtains them for us.
What Happens Next?
Solicitor’s Fee Agreement
We will send you a copy of our agreement to review and sign.
Expert Report
Once the client is onboarded the documentation is sent to an Expert Witness who will run a forensic report. The EW has the base line energy tariffs for the energy providers and will be able to accurately ascertain if there is a discrepancy and calculate the level of commissions paid (which will be true in almost all cases). There are then a series of calculations which happen however naturally the larger the bills and the longer they have been paying the more likely they are to reach £10,000 minimum claim value required.
Anti-Money Laundering – Know Your Client
If following the review you wish to proceed with your claim we will require Proof of ID and Proof of Address for the individual managing the claim.
Is My Claim Going to Be Enough to Qualify?
As a rough guide to calculating claim value look at 25% of the total contract (past and next 2 years). So, a total historic and next two years payments of £80,000 would equate to approximately £20,000 in potential claim value. PLEASE NOTE – It is possible to combine multiple contracts for the same company to reach quantum. We can go back up to 10 years.
If you believe you have been overcharged for your business energy & utilities, our mis-sold energy claims solicitors can help you make a claim for compensation. Contact us to get started.
