Ofgem has warned today that it will refer to the Competition Commission if it is unhappy with how suppliers take forward its proposals to improve the deal consumers get from the energy market.

The regulator's stance follows a similar threat last week from Ed Miliband, the Energy Secretary, who said that the Government would be prepared to legislate if energy companies do not come up with a fairer pricing structure.

Ann Robinson, Director of Consumer Policy at uSwitch.com, comments: "Ofgem has identified some 'quick wins' in the energy market that will go some way towards appeasing both consumers and the Government. Removing £500 million in unfair premiums and making sure that prepayment meters are priced according to the underlying cost of running them will put money back into the pockets of consumers and will directly help some of the most vulnerable households in our society. For this alone it has to be applauded.

"Now that Ofgem has identified what needs to be done to make the market work in the way intended, its biggest challenge will be to get the suppliers to buy into its remedies and to act upon them quickly. Today's threat to refer to the Competition Commission is designed to turn the heat up and to let suppliers know that it means business. It wants everyone to get the message that it intends to ensure that its proposals for a fairer deal for consumers are adopted wholeheartedly by the market."

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