Citizens Advice has reported that the level of customer service provided by energy companies has reached an all-time low due to rising household bills.
Since June 2021, when several suppliers went bankrupt due to high global gas prices, standards have “plummeted,” according to the report.
The average phone wait time to speak with a company is now approximately six and a half minutes, compared to less than four minutes a year ago.
Citizens Advice advocated for enhancements before the autumn rate increase.
In April, the energy price cap, which limits how much energy suppliers can increase household bills, increased by an unprecedented £700 per year to £1,971 for the average household. In October, costs are anticipated to rise by an additional £800 per year.
In recent months, wholesale gas prices have skyrocketed, resulting in a rise in monthly expenses. As economies reopened after Covid restrictions, demand increased, but Russia’s invasion of Ukraine has fueled fears over supplies, driving prices even higher.
The increase in the wholesale cost of gas, which is the price at which energy companies purchase it, caught many suppliers off guard and caused them to lose money on price guarantees to customers. This resulted in the failure of several businesses, mostly smaller ones, and the migration of millions of customers to new suppliers.
Citizens Advice reported that between January and March 2022, its consumer service helpline received more than 70,000 energy-related inquiries, a 63 percent increase over the same period the previous year.
According to the charity, people with prepayment meters are at risk of being without gas or electricity if they cannot afford to top up their meters.
It warned that if “immediate action” is not taken to address poor customer service, standards “will only deteriorate” as winter bills are expected to rise again.
Energy providers are required to assist those who cannot pay their bills.
Citizens Advice’s chief executive, Dame Clare Moriarty, remarked, “It’s concerning that service performance is the worst on record at a time when customers need all the help they can get”.
This leaves people on the other end of the phone frustrated and in the dark.
We acknowledge that call center employees are working extremely hard to answer as many calls as possible, but energy companies must do better.
Citizens Advice reported that businesses were also responding to emails marginally more slowly. Compared to the same period in 2021, suppliers responded to 62 percent of emails within two business days on average, down from 66 percent.
“Raise your game”
The charity ranked energy suppliers based on their “star rating” after analyzing data from a variety of sources, including consumer complaints and the energy ombudsman.
Utilita, Ovo Energy, Ecotricity, and E.On Energy was ranked as the four worst suppliers for customer service.
Four businesses were contacted for their opinions.
Utilita, the lowest-rated company, stated that it had “issues” with Citizens Advice’s approach to recording complaints, “regardless of whether we were at fault”.
A spokesperson stated, “Yet again, the Citizens Advice Star Rating fails to reflect the unique nature of our business or the service our customers receive”.
It accused Citizens Advice of failing to update its records “where the supplier has committed no wrongdoing and we have had no contact with the customer”.
We recognize that we can do better, but we are adamant that Citizens Advice’s methodology is unfairly biased against us as a smart prepay specialist.
E.On reported an “unprecedented increase” in customer contact in the months preceding the April price increase and apologized to “any customer who felt our service fell short during this time”.
Ofgem, the energy regulator in the United Kingdom, stated that it was working with suppliers to improve service and that “it’s time for them to step up their game”.
“Protecting consumers is our top priority, and as these statistics from Citizens Advice demonstrate, there are areas where customers are not receiving the service they so desperately need and are entitled to expect in these very difficult times,” the statement said.
“We have made it clear to our suppliers that they cannot use the current gas shortage as an excuse for poor performance or unethical conduct”.
