CAP has responded to Ofgem’s Debt Strategy: next steps call for input
Key points:
- CAP welcomes Ofgem’s decision to do a Debt Relief Scheme. CAP wishes to encourage Ofgem with this and highlight the positive benefits and relief that it will bring to many in financial difficulty and problem debt.
- Overall, CAP see the proposal as mainly positive with the requirements around eligibility criteria to be fair.
- Although this is a positive step, CAP wish to highlight that people’s financial situations are still looking precarious and many are still being pulled into energy debt due to having a deficit budget.
- Long-term support and solutions need to be considered to ensure that the positive impacts from this scheme are not countered by people being immediately forced back into energy debt.
- CAP would encourage Ofgem to also consider long-term, sustainable funding, to ensure that free debt advice remains available to support customers in problem debt.
