New rules for energy brokers: what UK businesses need to know

If you run a small business, you have probably had the call: a broker promising to slash your energy bills, urging you to sign today before the price disappears. For years, a minority of firms gave the whole industry a bad name with hidden fees and hard-sell tactics. That is now changing, and the changes are good news for business owners.

This guide explains what is happening in plain English, separates what is already law from what is still on the way, and turns it into a practical checklist you can use to judge any broker who contacts you.

Who are these rules actually about?

The rules target what the industry calls third-party intermediaries, or TPIs. That is the formal name for energy brokers and price-comparison websites: the businesses that sit between you and the energy suppliers and arrange your gas and electricity contracts. Most do an honest, useful job. The problem was that a small number did not, and until recently there was very little oversight to stop them.

The problem regulators wanted to fix

Investigations found a recurring pattern: hidden commission baked into unit rates without the customer knowing, unclear or undisclosed fees, and pushy sales tactics designed to rush people into signing. The businesses hit hardest were small firms and charities, precisely because they rarely have a procurement team to comb through the small print.

What is already in force

Some real protections are already here, brought in from late 2024 through the licence conditions that suppliers must follow. Because suppliers are regulated, these rules bite on brokers indirectly but effectively:

• Redress scheme membership. Energy suppliers may only work with brokers who have signed up to a recognised redress scheme, such as the Energy Ombudsman. That gives you an independent route to complain if something goes wrong.
• Commission disclosure for micro-businesses. Brokers dealing with micro-business customers must now disclose their commission in writing before you sign, and tell you which ombudsman or redress scheme they belong to.

In short: if a broker is arranging a contract for a very small business, you are entitled to see what they are paid and to know where to turn if there is a dispute, before you commit to anything.

What is coming next

The bigger change is still on its way. In October 2025 the government confirmed plans to bring energy brokers and comparison sites under the direct oversight of Ofgem, the energy regulator. The intended approach is described as a hybrid authorisation regime: brokers would have to register with Ofgem and meet fit and proper person criteria before they are allowed to operate at all.

To get there, Ofgem has been running a market survey, expected in the first half of 2026, and it published a further update on third-party intermediaries in July 2026. This is the direction of travel rather than a finished rulebook. Full registration and authorisation of every broker will come into force through legislation over the period ahead, so expect the detail to firm up gradually.

Why this is good for your business

None of this makes using a broker a bad idea. A good broker saves you time, compares a market you cannot easily see yourself, and handles the paperwork. What the rules do is raise the floor, so the honest majority are no longer undercut by the few who hid their fees. You get transparency on what your broker is paid, a genuine complaints route, and, once registration lands, a barrier that keeps the worst operators out entirely.

The practical effect is that you can shop with more confidence. That matters most when you compare business electricity and business gas deals, where small differences in the unit rate add up over a multi-year contract.

How to choose a broker you can trust: the checklist

You do not need to wait for every rule to land to hold a broker to a high standard. Here are the questions worth asking before you sign anything:

1. Are you a member of a redress scheme, and which one? A trustworthy broker will name it without hesitation. Ask for their reference so you can check.
2. How are you paid, and how much? Most brokers, including us, are paid a commission by the supplier you choose, usually built into the unit rate. That is normal and legitimate. What matters is that they tell you clearly and in writing.
3. Do you compare the whole market, or just a panel? A whole-of-market broker can look across many suppliers rather than a favoured few.
4. Will you ever tell me not to switch? A broker whose only answer is always switch is a broker with a conflict of interest. Sometimes staying put is the right call.
5. Are you pressuring me to sign today? Genuine deals rarely evaporate in the next ten minutes. Urgency is a classic warning sign.
6. Can I see the contract terms and the end date in writing? You should always know exactly what you are committing to and for how long.

How Win Energy already works this way

We have been an independent business utility broker since 2012, and the direction these rules are taking is simply how we have always operated. We are a member of the Energy Ombudsman, with the ADR reference C35WINE01, so you have an independent route if you are ever unhappy. We are open that we are paid a commission by the supplier you choose, and we compare across the market rather than pushing one name. Because we would rather keep a customer for years than win a switch that does not suit you, we will genuinely say do not switch when your current contract is already competitive.

The rules are tightening for a reason, and that is a positive step for every small business owner who has ever felt rushed or kept in the dark. Use the checklist, ask the questions, and work with a broker who was doing the right thing before the law required it.