Automatic Rollover Contracts

Meeting: 
MQT on 2013-10-23
Session date: 
October 23, 2013
Reference: 
2013/3810
Question By: 
Murad Qureshi
Organisation: 
Labour Group
Asked Of: 
The Mayor
Category: 

Question

Following your answer to MQ 3153/2013 will the Mayor lobby the big six energy companies to cease this practice which ties struggling SMEs into long and expensive contracts?

Answer

Answer for Automatic Rollover Contracts

Answer for Automatic Rollover Contracts

Answered By: 
The Mayor

No. The role of regulating energy companies lies with the Office of Gas and Electricity Markets (Ofgem) who is the independent National Regulatory Authority in the UK responsible for protecting the interests of consumers.

However, some energy companies are already taking the initiative of ending this practice, will not roll over contracts and will be negotiating individual contracts.