SoLR Levy Offset Policy Consultation (5 April 2024)

Ofgem is seeking views on a new proposal for a ‘SoLR Levy Offset’. This follows on from proposals first set out in our June 2022 consultation on Strengthening Financial Resilience. The aim is to recover from failed suppliers (including through the insolvency process) some of the costs that failed suppliers cause. Ofgem would create licence and contractual arrangements such that another party would have a legitimate claim for SoLR Levy costs against a failed supplier. The debt would rank as an unsecured claim in supplier insolvencies.