With COVID-19 and the ongoing energy crisis continuing to cause uncertainty in the retail sector, it could be a tough winter for retail businesses
Retailers across the UK are still struggling to find their feet after what has been an immensely challenging two years. The COVID-19 crisis led to restrictions, public uncertainty and, of course, periods of forced closure. Needless to say the combination of factors has put a substantial dent in the pockets of the UK’s retail sector. And as the pandemic drags on, the UK’s soaring energy costs are also posing a threat to retailers.
In the wake of dwindling footfall, now is a critical time for store owners to be able to handle their overheads. Yet energy prices in the UK continue to soar to unprecedented levels. And if increases to wholesale energy prices energy costs weren’t enough to contend with, it has become evident that many retailers aren’t on the kind of competitive deal they may have been promised by unscrupulous brokers.
Hidden business energy commission is forcing retailers to pay more than they should for their energy
Mis-sold energy contracts have become almost commonplace across a number of industries in recent years. At the heart of this issue are brokers looking to move organisations onto long-term contracts that are based less on competitive pricing and more on commission margins. The result is monthly bills to businesses that are dramatically more than the most affordable deals on the market.
This is made possible due to the fact that commercial energy contracts aren’t as tightly regulated as their domestic counterparts. Brokers currently do not have to be transparent when breaking down the costs involved. The inclusion of hidden business energy commission is often left undisclosed within the contract, so that retailers aren’t even aware of any additional fees.
Claims management specialists, Winn Solicitors know what it’s like to be the victim of a mis-sold energy contract, having discovered substantial hidden commissions within in their own energy agreement. CEO of Winn Group, Jeff Winn, says that this experience has encouraged his team to help other organisations recoup compensation for any unethical fees found within existing contracts of others.
Winn says: “Like many businesses we believed that the energy brokers we worked with had our best interests in mind when negotiating contracts on our behalf. We believed we were being sold the most competitive contracts.
“However, the truth is that hidden within our contracts were inflated commissions and pricing that was not genuinely based on the wholesale rate of gas and electric.”
Winn continues: “As a result of our experience we are now committed to raising awareness and helping businesses understand that, if they have been mis-sold an energy contract, we can help them to recover compensation after being mis-sold a business energy contract.”
Winn Solicitors now help businesses from a range of industries to pursue claims on a no win, no fee basis. This gives organisations peace of mind with regards to potential legal costs. As such, seeking justice for hidden energy commission is now more accessible for businesses across all industries, at a time when businesses – alongside charities and public bodies – are spending £25 billion a year on their energy, according to energy regulator Ofgem.
Winns’ own findings suggest that organisations can typically recoup between 10% and 20% of their energy spending where an unethical energy contract is identified. They are also helping retailers break out of their mis-sold contracts and move onto 100% green energy contracts which are both transparent and ethical.
Has your business been victim to hidden business energy commission? Find out by reaching out to the team at Winn Solicitors here.