Oil Well

Energy crisis: How the UK watchdog can look out for consumers

Leigh Day solicitor Niamh Kelly considers the ways the Competition and Markets Authority (CMA) can protect UK consumers from rising energy prices in the short and long term.

Posted on 16 April 2026

As the conflict in the Middle East affects energy prices across the globe, the UK’s competition regulator has a number of tools at its disposal to protect consumers at home.

Continued monitoring of prices at the pump

The CMA was already monitoring the road fuel sector following an investigation in 2023. It has been working to make information about fuel prices more accessible to consumers via its Fuel Finder scheme. However, on 12 March 2026, the CMA announced plans to step up its efforts in response to events in Iran. In particular, it intends to bring forward formal requirements on fuel stations to provide key data which will allow the CMA to more effectively monitor the market. The CMA has indicated it will be watching to make sure any future drops in fuel prices, and not just sudden increases, are passed on to consumers. 

Using its consumer powers

The Digital Markets, Competition and Consumers (DMCC) Act 2024, which came into force last year, has given the CMA stronger powers to protect consumers from anti-competitive behaviour. Such powers could be particularly important to stop firms seeking to profit from the Middle East crisis through unfair behaviour. For example, on 11 March, the CMA announced it was investigating reports that certain businesses in the heating oil sector were cancelling existing orders and then making new offers to the same customers at much higher prices. The CMA has made clear it will take enforcement action if any breaches of consumer law are identified. Under the DMCC Act, the regulator can impose significant financial penalties of up to 10% of an enterprise’s worldwide turnover.

Ensuring a competitive UK energy market long term 

The government has made clear it is prioritising the UK’s long-term energy security in light of events in the Middle East. This includes bringing forward the government’s next renewables contracts auction, which occurs annually to secure investment in green energy in the UK. The CMA’s Subsidy Advice Unit is responsible for providing independent advice on proposed government subsidies, including these annual renewables “allocation rounds”.

It is crucial to ensure that public money is used effectively, and the Subsidy Advice Unit plays a key role in checking that government subsidies are properly justified and monitored. This role will be even more crucial as renewables auctions grow - with the 2025 allocation becoming the biggest ever, leading to the largest procurement of offshore wind in Europe. The Subsidy Advice Unit’s report on this year's renewables auction is due to be published at the end of April, with the auction now brought forward to July in response to the current energy crisis.

The CMA has a dedicated page providing updates of its response to the economic impacts of the conflict in the Middle East. 

Profile
Niamh Kelly
Competition law Group claims

Niamh Kelly

Niamh is an associate solicitor in the international and group claims department

Landing Page
money, Still life of British currency on financial newspaper, close-up

Consumer, competition and financial services claims

See how our leading UK consumer law lawyers can help

Landing Page
Woman counting money in purse benefits

Competition law class actions

Contact us today to start your competition compensation claim