In the retail energy market, a ‘white label’ is an organisation that does not hold a supply licence, but instead works in partnership with a licensed ‘partner supplier’ to offer tariffs under the white label brand.
During the development of the domestic Retail Market Review (RMR) rules, we recognised that white labels have the potential to deliver greater consumer choice and competition. For example, white labels can be an avenue to facilitate entry of household brands in the retail energy market and the development of new business models. At the same time, we noted that white labels might undermine our aim of a simpler retail energy market and weaken consumer protections. In the domestic RMR statutory consultation, in June 2013, we said we would give further consideration to the right regulatory framework for white labels.
This consultation seeks views on our proposals to develop the regulatory framework for white labels. The proposals have been informed by the responses to our call for evidence and the discussions at the stakeholder event (slides and minutes provided below).