Energy watchdog tells suppliers to improve complaint handling

Less than one in four energy customers are satisfied with the way gripes were dealt with, according to new research commissioned by energy regulator Ofgem.

Last year, an independent audit commissioned by Ofgem found that suppliers had made the necessary systems investments and updated their processes in preparation for new complaint handling standards, yet this new research shows that customers remain dissatisfied.

The report shows that consumers are particularly unhappy with the number of times they have to contact their supplier, with a common gripe being suppliers who promise to call back but never do. Also on the list of complaints was the attitude of some staff and the fact that suppliers often viewed the problem as resolved when the customer’s did not.

Not all energy suppliers performed equally in the survey. While satisfaction levels were low across the board, SSE and E.ON rated joint highest for satisfaction (29%) and npower was rated lowest (16%).

Today, Ofgem Chief Executive, Alistair Buchanan has sent a letter to the Chief Executives of the big six energy companies today, stating that he is disappointed with the low level of customer satisfaction in complaint handling and that he expects to see improvements when the regulator looks at the issue again next year.

The letter advises:

“It is in suppliers’ best interests to ensure that the service they provide is of a high standard. This is clearly an opportunity for them to raise the bar to retain existing customers and attract new ones. With the systems and processes in place, the challenge now for companies was to really listen to what their customers were saying and look at how they could address their concerns.”

Commenting on Ofgem’s research, Ann Robinson, Consumer Policy Director at uSwitch.com, said:

“It’s important that companies listen to these results and acknowledge them as it gives them an opportunity to understand what their customers are really thinking.

“Customer service remains a key issue for consumers when dealing with suppliers across a wide range of sectors, not just energy. Household bills are at a high and yet service does not seem to have kept pace and many consumers will be wondering exactly what they are paying for when they receive bills they cannot understand, wait long times to speak to somebody to resolve a problem and are unhappy with how complaints are managed.”

“There is a big problem with customer service, but it does seem that Ofgem intends to tackle it and the energy companies are prepared to listen. It will take time, but with the average energy bill costing £1,243 a year, it would be great for consumers to finally start seeing a real improvement in service and to begin getting better value for money.”

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