Energy price cap consultations
Article Summary
- Key point
- Ofgem is consulting on extending the ban on acquisition-only tariffs until March 2027. This proposal aims to prevent suppliers from offering cheaper deals to new customers while existing ones pay more.
- Why it matters
- No immediate change to household bills, but worth watching.
- Expected impact
- Mixed / neutral impact — A structural or regulatory development to monitor.
Ofgem is consulting on extending the ban on acquisition-only tariffs until March 2027. This proposal aims to prevent suppliers from offering cheaper deals to new customers while existing ones pay more.
What This Means
This consultation signals Ofgem's continued focus on market fairness. While the ban aims to protect existing customers from loyalty penalties, it also limits competition, potentially preventing all consumers from accessing the very cheapest deals. We believe this extension, if implemented, will maintain the current market structure where switching incentives are minimal. Consumers should continue to monitor their tariffs and engage with their suppliers, even without the lure of significant new customer discounts.
- Consumers: No immediate change to household bills, but worth watching.
- Businesses: Limited direct cost impact for businesses for now.
- Energy market: A structural or regulatory development to monitor.
From The Source
Ofgem · 5 August 2026
This summary and analysis is based on reporting from Ofgem. Read the full original article on their website.
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