Energy Brokers: How to Spot the Red Flags Before It’s Too Late
Businesses across the UK are being misled into costly energy contracts, and many don’t even know it. At Energy Solicitors, we are sounding the alarm on unscrupulous energy brokers and third-party intermediaries (TPIs) who exploit gaps in regulation to hide fees and mis-sell contracts.
As a leading litigation firm in the energy sector, Energy Solicitors is committed to fighting for transparency, accountability, and fair treatment for businesses navigating the complex energy marketplace.
Why Businesses Are at Risk
In today’s volatile energy landscape, companies are under pressure to lock in contracts early. But rushing into agreements without proper scrutiny can lead to five- or six-figure losses, often buried in the fine print.
“It’s absolutely vital that businesses do their due diligence when it comes to energy contracts,” says Victoria Myers, senior partner.
“We regularly see hidden fees tucked away in electronic documents that are never properly explained. It’s becoming easier than ever for unscrupulous TPIs to close high-value deals without full disclosure.”
Common Red Flags to Watch Out For
If you're dealing with a broker or TPI, here are three warning signs that should raise immediate concern:
- “No commission” claims
Brokers may say the supplier pays their commission or that no commission is charged. This is rarely true. Always ask for a full breakdown. - Confusing electronic contracts
Key details, especially fees, are often buried in digital documents. If the broker doesn’t clearly explain the terms, that’s a red flag. - Pressure to sign early
Being pushed to commit to a future contract months before your current one ends may reflect the broker’s interests, not yours.
How We Can Help
At Energy Solicitors, we don’t just litigate, we educate. Our team helps businesses:
- Reclaim money lost to hidden fees and mis-sold contracts
- Review energy agreements before signing
- Navigate disputes with brokers and suppliers
- Understand their rights in an unregulated market
“We are encouraged by improvements in broker conduct,” adds Victoria, “but mis-selling is still widespread. Until regulation catches up, Energy Solicitors is here to protect businesses and hold bad actors accountable.”
A Call for Industry Reform
The energy sector is crying out for tighter regulation. While many TPIs act ethically, the lack of oversight allows others to exploit businesses, especially SMEs, who may not have the resources to scrutinize every contract.
Energy Solicitors Limited continues to campaign for:
- Greater energy literacy among business owners
- Mandatory commission disclosure
- Clearer contract terms and digital transparency
Need Help With an Energy Contract?
If you suspect you have been mis-sold an energy deal or want expert advice before signing, contact us today. Our litigation specialists are here to help you protect your business and your bottom line.
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