Newington moved swiftly to position Octopus Energy at the centre of the growing debate on energy prices, advocating regulatory change in the form of an energy price cap to protect energy customers and improve competition in the market.
The retail energy market is widely recognised as dysfunctional, with challenger suppliers effectively locked out of 70% of the market, insulating large incumbent utilities from competition due to their use of ‘tease and squeeze’ pricing tactics. However, the tabling of a parliamentary debate on energy prices provided the opportunity to push a game-changing policy.
Using a range of techniques, Newington nimbly engaged MPs from all parties, providing them with strong, targeted, constituency-level evidence in support of a price cap.
Following an intense campaign to harness political dissatisfaction with the energy market to achieve positive legislative change, every major party included a commitment to a price cap in their Summer 2017 manifestos. In October 2017, the Prime Minister announced legislation to meet her election pledge. As the Bill passed through parliament and became an Act in July 2018, Octopus became a trusted source of information, briefing ministers and other parliamentarians across both Houses, and giving evidence to parliamentary committees. Of these, the BEIS Select Committee gave its unanimous approval for a price cap. In the final stages of the Bill, an amendment that Octopus championed passed, forcing the Government to commit to a review of ‘tease and squeeze’ pricing on top of the price cap.
