How to Check if a Broker is Regulated

Apertus Group’s energy consultancy service has helped businesses of all types to improve their energy contracts. We look at a business’s needs, from sports clubs to logistics companies. We work with them and energy providers to find a deal that fits.

We take pride in our openness and transparency. However, some businesses and people try to make deals that only help themselves. They often include hidden fees by being unclear about what a contract means.

How to check if a broker is regulated and legitimate

All energy consultants are regulated by Ofgem, the energy markets regulator. Ofgem sets rules for how brokers and consultants can work. These rules cover their actions at the end of contracts and ensure transparency.

However, the rules around the regulation are due to change. In September 2024, new rules were announced. These rules will require energy brokers to be clear about their prices. This also applies to other third-party services, like price comparison websites.

While this isn’t law yet, regulated brokers should be engaging in this behaviour already, despite their current regulatory status, as it is a practice that engenders trust. Brokers that are not being transparent with their costs may find it easier to engage in fraudulent activities, something Ofgem hopes to minimise.

How to check if a broker is licensed

There is no explicit licensing scheme for energy brokers in the UK. Brokers do not need to be licensed or regulated by the FCA other than under specific circumstances where the broker is offering credit in some capacity. However, there are methods brokers can use to exhibit their trustworthiness.

Brokers being accredited by an industry body, such as the Utilities Intermediaries Association, is usually an indicator of consistent good practice. Membership of other industry bodies, such as the Energy Consultant Association should also be considered.

A great resource is the Energy Ombudsman’s Broker Register. It lists brokers who are members of their scheme. By registering with the Energy Ombudsman, energy brokers promise to improve the industry. They aim to provide better products and services to their customers.

Apertus Group provide transparent energy consultancy services for businesses of all sizes and needs. Contact us to learn more about how we can help you.