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Energy bills to rise ~£800m after Winter Fuel Payment cut

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Debt Energy Market
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MHHS Transformation

Creating a winning business readiness plan for MHHS

Ofgem’s deadline for Market-wide Half Hourly Settlement (MHHS) implementation is expected to be pushed back again, from December 2026 to May 2027. Given this is the most fundamental change to the electricity market since privatisation, the revised implementation timeline provides suppliers with a new opportunity to nail their readiness plan.

People and Culture Transformation Customer Service

Building a customer-centric leadership culture to transform service

The Energy and Utilities sector is evolving significantly - many are delivering system migrations, large scale restructures, and experiencing rapid growth. Universal in the success of navigating this, is the ability for operational leaders to translate these strategic changes, and land them successfully with those people closest to the customer.

People and Culture Transformation

E.ON Next wins award for leadership development programme with BFY

We're proud to share that E.ON Next were winners at the Northern Contact Centre Forum Awards, receiving recognition for their leadership development programme, in partnership with BFY Group.

Energy Market

Domestic customer switching jumps to highest level since energy crisis

290k domestic customers switched energy supplier in September - the most since before the energy crisis.

Energy Market MHHS

Dynamic tariffs saved £150 on electricity for typical customers in last 12 months

‘Typical’ customers would have saved £150 in the last 12 months on a dynamic time-of-use electricity tariff – but will need to be able to shift their consumption to achieve the same in 2025.

Customer Service People and Culture

Realising Ofgem's vision for a leading customer-centric Energy sector

Ofgem's customer service ambition makes it clear that today's service standards aren't deemed acceptable, with rising bills and record debt levels only amplifying these calls for change. It represents a new opportunity for suppliers to build a leading culture for customer-centricity, as we show here. 

Complaints Customer Service

Closing the gap between complaint volumes and service ratings to save £m’s

There's generally little correlation between customer service ratings and complaint volumes for energy suppliers. A good Trustpilot score doesn't typically mean less complaints, but as we show here, suppliers can save £m's by closing this gap.

Debt

Typical DD customers are ~1.7x monthly payments in credit

As we head into winter, typical Direct Debit (DD) customers are in credit by ~1.7x their monthly payment. With c.70% domestic energy customers choosing to pay by DD, payment adequacy is critical for supplier health. 

Debt

Domestic energy suppliers faced £1.6 billon cash coverage deficit in June 2024

By combining Ofgem's latest data on customer credit with their recent market debt figures, BFY Group analysis shows domestic suppliers faced a £1.6bn shortfall to the target cash reserve in June 2024 - an increase of £1.4bn from 12 months before.

Broken umbrella blown over onto the sand on a beach.
Debt Energy Market

Domestic Energy Debt Reaches Record £3.7 Billion

Energy debt hits a new peak of £3.7 billion as of Q2 2024 as Average debt per customer rises to a record £1,094. Energy debt has continued to increase by 40% since Q2 2023 while average annualised customer bills have levelled out.

Transformation MHHS Smart

Getting operationally ready for change in a dynamic energy market

Avoiding expensive delays is key in any change programme, and the risks are getting greater with smart targets and MHHS on the horizon. Often, suppliers have the right idea on what to change, but fall short in realising benefits due to how the change is delivered. Here, we show why operational readiness is key to nailing this delivery, with five focus areas to sharpen your approach.

Energy Transition Strategy and Commercial

Quantifying the investment needed for cheaper bills under GB Energy

GB Energy's ambition to reduce bills and make Britain a 'clean energy superpower' is welcome news. But substantial private investment will be needed, if the potential savings pledged by Labour are to be realised. Using a very high-level business case, we've quantified the scale of investment that may be required.

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Kelly Payne, Director at BFY Group. Jonathan Paton, Senior Manager at BFY Group. Jon Vincent, Senior Manager at BFY Group.

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