Energy LItigation Explained
Energy was sold to businesses in the UK through brokers who have not disclosed their commissions which has significantly impacted energy prices to those companies. Further to the Supreme Court decision on August 1st, 2025, any energy broker who has supplied energy to a UK business without complete disclosure of their commissions where a fiduciary relationship is established shall have the whole contract cancelled with over-payment and interest due back to the business owner.
There are somewhere close to 8 million UK business that are believed to have viable energy claims against brokers and energy companies. Historically these companies have 2.4 claims each totally over 19 million claims. The average value of the claims is £52,000 giving an estimate of almost £900 billion in claims. Perhaps 30% - 40% of these will be processed successfully establishing a funding demand of close to £240 billion (TAM). It is estimated that the current litigation funding deployment is below 4% of this amount.