30 November 2006

Small businesses are to lose their dedicated energy price champion in 2008. Under proposed legislation Energywatch will be merged with two other watchdogs - Postwatch and the National Consumer Council.

The Consumer, Estate Agents and Redress Bill will see the merger complete in March 2008 and is designed to "strengthen consumer representation".

A spokesman for Energywatch said: "Small businesses are often not as versed in contracting and procurement as larger firms, so they are subject to the shabby practices some energy suppliers use when tying them into contracts. We need to tackle this."

The wholesale price of energy supplies has started to fall, but Energywatch said it needed to ensure this reduction was passed on to small businesses as a cut in their retail prices.

Energywatch launched its business services team in May 2004. It supports businesses across Britain through advice on how to change suppliers and make contracts.

SMnov2006