Policy, technology and knowledge gaps: 3 key issues facing Brokers in 2025

Fresh from attending the Energy Live Consultancy Conference, we take a look at what’s in store for energy brokers, consultants and TPIs as we head into 2025...

The annual Energy Live Consultancy Conference is always a great place to learn about the key issues and opinions of some of the key figures in the UK’s energy consultancy industry – and the areas that brokers are likely to need support with in the year ahead. 

This year’s conference – ELCC2024 – was no different with energy policy, MHHS and NetZero the hot topics of discussion. Attending the show from OnlineDIRECT were Dan Nichols and Clare Morely from our Bespoke Sales and New Business Teams.  Having managed to join most of the talks on the day, there were some clear themes that emerged that every broker should be aware of going into 2025. 

Read on for their key takeaways and a sneaky peek at some of the things we’re planning on bringing your way to help… 

Net Zero policy and MHHS concerns persist

First on the agenda, and setting the tone for the day, was a panel discussion on some of the policy and legislation likely to impact TPIs and their customers in 2025.

Most of the discussion centred around “journey to Net Zero” for customers and how to make it happen – especially as Engie’s Phil Brook noted that “[as] Energy and Trade Intensive Industries (ETII) and Domestic customers have been looked after a little, those customers in the middle have had to pick up the lost costs as a result.”

The general consensus from the panel was that cost is outweighing the desire for Net Zero right now – and this certainly echoes what we are seeing and hearing from brokers in our network.

“We are moving slowly to greener products; however, cost is still number one priority for customers.” 

– Simon Gill, British Gas Business

An interesting open question on TPI strategy also posed by British Gas Business’s Simon Gill, who asked: “What are we doing? Helping customers save kWh or cost? EV decarbonisation is affected by grid points; this may result in future growth being affected. But who is responsible: the end user, landlord, or public sector?” 

An MHHS warning (for the hospitality industry in particular) 

A word of warning regarding the impending Market-wide Half-hourly settlement (MHHS) rollout was also given to the hospitality industry, who may find it particularly challenging due to having little ability to shift their load requirements which could lead to increased costs during peak times for that industry. 

Concern around MHHS rollout was also raised later in the day in a discussion between Simon Gill, Andrew Crabtree and Ryan Jarvis.   

Talking though a view of the next 6 months, they first acknowledged that energy markets have settled into standard patterns and that there are likely to be (ongoing) increased costs due to issues around the world and risks posed, with MHHS seen as the key issue that brokers would need to help customers navigate in the New Year.  

In particular, there is a big play for preparation for Smart/AMR meter installs to prepare customers and place them in a position to monitor and move energy consumption patterns. Changes for MHHS are far more involved for suppliers’ systems than expected and all billing will have to change internally – which could point to further systems issues arising in the near future. 

However, Ofgem’s decision to the delay of the start of the MHHS migration by 6 months to ensure that all the new systems can be fully tested to protect the settlement process during the changeover (announced at the end of November 2024) will hopefully mitigate this particular issue to some degree. 

An opportunity in disguise? 

Despite the potential issues with the rollout, we think MHHS actually presents brokers – especially those with hospitality–heavy portfolios – the opportunity to support customers in their move to half-hourly settlement.  

Not just by increasing the energy efficiency of their operations, but also: 

  • Exploring ways for these businesses to generate their own power  
  • Investing in power purchasing agreements (PPAs) 
  • Taking advantage of new flexible procurement opportunities 

On a more fundamental level, the first step towards any cost saving is data – making smart meter installation and energy analytics to help understand consumption patterns the priority for pretty much any business going into 2025. 

We’re currently working on some resources to help brokers advise customers on the likely best solutions based on their specific business-type. Keep your eyes on your emails and our socials for details and download links in the New Year. 

Helping customers on their Net Zero Journey

Picking up on where the day’s first talk left off was a discussion on how TPIs can help customers on their Net Zero journey where the current feeling was that, generally speaking, business is too segmented to develop a real Net Zero strategy.

This makes it especially important to bring all stakeholders together to prevent mini projects being completed in silo.

Load shifting and shedding are equally important in the move to MHHS, as well as negating any additional increased costs.  However, with Rachel Stark advising that as although a healthy portion of energy can be generated on site by many customers, for some, they may only achieve 10%-40% usable power, and Solar may not be the best solution for some businesses.

Engie’s Ellis Campbell mentioned the need for TPIs to offer a suite of Net Zero services to cover all options, especially as there is a growing expectation for them to take on the key role as a “trusted advisor”.

Concerns around Net Zero knowledge gaps

The need for greater understanding of the solutions available for businesses as they transition to Net Zero was also touched on later in the day, with a warning from Utility Aid’s Sally-Ann Beaver that many clients are currently being misled for round appropriate Net Zero solutions – resulting in increased costs and ineffective solutions.

One particular example was given of church disconnecting their gas supply and replacing it with heat pumps – which was a poor solution due to the building type and means the building is now always cold as they cannot afford to heat it.

To help close this gap, we’re looking at providing a series of webinars and other training resources aimed at giving brokers the information – and confidence – they need to effectively support customers throughout their Net Zero journeys. Again, keep your eyes on your emails and our socials for more details as they become available.

Technology adoption and development  

Another key theme throughout the day was technology, and the tools on offer to TPIs brokers was discussed at length in a talk from Paul Linnane, David Sheldrake, Alan Fordham and Richard Price.  

If you’ve been a broker for any length of time, it will come as no surprise to hear that the energy sector’s slower adoption of advancements in software and technology compared to other industries came up quite a bit throughout this talk.  

While software has evolved in areas like TPIs, with the rise of APIs and integrations within broker portals, there’s a feeling that suppliers aren’t as innovative as some energy aggregators or partners in these areas. 

Providing energy price comparisons and bespoke tenders are essential for effective customer service and the use of a specialised broker platform is therefore a must for those looking to simplify the end-to-end contract management process and deliver a truly top-quality service for customers. 

2024 has (unfortunately) been a prime example of the problems associated with suppliers use and reliance on legacy systems. Which, as we’ve seen, can cause huge problems for brokers and their customers when the migration to newer platforms doesn’t quite go to plan. 

Automation and AI advances 

On a more positive note, there has been more wide-spread success with the successful adoption and effective use of Artificial Intelligence (AI) and automation as the industry undergoes its slow digital transformation. 

There are many examples of where AI can be leveraged to provide customers with a clearer picture of their energy usage.  To support carbon reduction efforts for customers by analysing data and helping educate them on making greener choices, and by simplifying complex data (such as HH data), for example. 

Automation is being used to streamline processes. Examples include sending courtesy emails to customers six months into their contract or automatically notifying them when they enter their renewal window. Not only can this help improve customer retention, but it also helps ensure as low cost to serve as possible, and saves time for TPIs and brokers.  

3 top tips for brokerage growth 

MHHS and Net Zero challenges aside, there were also a number of areas that present more clear-cut opportunities for TPIs and brokers looking to grow their business in 2025 that came up throughout the day – both across the talks, and in conversation with other attendees and exhibitors alike 

These were summarised nicely by Patrick Gardiner, James Morrison and Paul Brannen as part of their afternoon discussion on Growth opportunities for TPIs in 2025: 

  • Invest in technology to streamline the sales process and make it as simple and seamless as possible for customers 
  • Explore offering additional services, such as water, waste, and solar so you can become a one-stop shop for your customers and build long-lasting relationships 
  • Develop internal strategies to support customers on their journey toward carbon neutrality and achieving net zero 

 

“For me the key takeaways were ensuring relationships are where they need to be from a trust perspective. Customers will need assistance and advice through their Net Zero journey. It is not a one-size-fits-all situation and we are well placed to perform a consultative approach for our brokers in this area through our commercial partnerships.

“Secondly, data is needed to drive the correct decision making for end users too. It is impossible to demonstrate the effectiveness of products or services without understanding where you are before and after the process.

“Upskilling/education is also likely to be needed for many individuals and closing this knowledge gap is something that we’re already looking to address – both with our Broker network and out internal teams. Not just to help brokers create lasting relationships with their clients, but to reinforce our role as a trusted advisor to our brokers, too.”

Dan Nichols – Bespoke Sales & New Business Team Manager, OnlineDIRECT

 

How we’re helping Energy Brokers in 2025 (and beyond) 

We’ve been saying this for a while now, but if you’re a broker that’s not currently offering services beyond the more lucrative electricity and gas contracts, you’re losing business to those that do.  

At OnlineDIRECT we offer a range of Water and Waste services, Solar PV and EV charger installation – and a range of other value-adding services. If you’re interested in learning more – about selling these directly, or through our Affiliate Partnerships channel – we’ll happily talk you through the options.  

If you’ve been a user of our energyengine® broker platform for a while, you’ll know that automations and integrations are something that we’ve been working on throughout 2024, and are committed to continuing. More details on this and our other platform enhancements to follow soon. 

We’re also investing in the resources and support/training we provide to our network (and our internal teams) to help plug the various industry knowledge gaps that arise as a result of the various policy and technology changes coming our way.  

Again we’ll have more information to follow, and would love to hear from you if there are any specific areas that you’d like additional information/support with. (Don’t forget to complete our 2024 Broker Success Survey if you’re yet to do so!) 

In the meantime, 2025 is shaping up to be another, shall we say, “interesting” year when it comes to business energy solutions, and we’re looking forward to helping you and your customers get through it in the best shape possible.