Who can use the Energy Ombudsman for a business dispute?

The Energy Ombudsman is a free, independent service that settles disputes between energy customers and the companies they pay. It is open to microbusinesses and, since 19 December 2024, to small businesses as well. Larger firms are outside its remit.

The size tests

You only need to meet one test in your category.

Category	Test (any one)
Microbusiness	Fewer than 10 full-time-equivalent employees and turnover or balance sheet no more than £2 million; or electricity use up to 100,000 kWh a year; or gas use up to 293,000 kWh a year
Small business	Fewer than 50 full-time-equivalent employees and turnover up to £6.5 million or balance sheet up to £5.0 million; or electricity up to 200,000 kWh a year; or gas up to 500,000 kWh a year

The usage limits apply to the fuel you are complaining about. A café can therefore qualify for an electricity dispute and not a gas one if its gas use is above the limit.

What it can handle

• Disputes with your energy supplier, such as billing, estimated bills, meter problems and problems after switching.
• Disputes with an energy broker.
• Complaints about network operators, heat network suppliers and Green Deal providers.

It is not a place to challenge a price you agreed simply because a better deal appeared later. It looks at whether the company behaved fairly and followed its obligations.

Who pays

You pay nothing. The companies it investigates pay a fee, and those that resolve more complaints themselves pay less.

Before you apply

You must first use the supplier's or broker's own complaints process. You then generally wait eight weeks, or until you receive a deadlock letter or final response if that comes sooner. The timings are explained in how long to wait before going to the ombudsman.

Keep copies of bills, emails and notes of calls with dates. Work out your employee count and annual kWh before you apply, so you can show which test you meet.

What if you are too big?

Larger businesses cannot use the Ombudsman. Your options are the supplier's complaints process and, for contract disputes, mediation or the courts. See the disputes guide for the wider picture.

Common questions about eligibility

What if I'm a sole trader or run from home?

Size, not legal form, is what counts. A sole trader with fewer than ten people and low usage will normally meet the microbusiness tests. If the energy is for your home business, see working from home to be sure you are on the right type of contract.

What if I rent my premises?

If you hold the energy contract, you are the customer and the tests apply to your business. If your landlord resells energy to you, check whether your dispute is with them or with the supplier.

Can I use it for a dispute with a broker?

Yes. Brokers sit within its remit, and suppliers may only work with brokers that belong to a qualifying dispute scheme. The Energy Ombudsman is one such scheme; see complaining about a broker.

Worked example

A bakery has 14 staff, turnover of £1.1 million and uses 62,000 kWh of electricity and 150,000 kWh of gas a year. On headcount it is not a microbusiness (14 is more than 10), but its electricity use is under 100,000 kWh and its gas use is under 293,000 kWh, so it counts as a microbusiness for both fuels on usage. It is certainly eligible.