A new Domestic and Microbusiness Compliance Scheme has launched today, introducing the first independent assurance framework designed to protect households and microbusinesses for domestic flexibility service providers (FSPs).
Flex Assure’s scheme has been designed to fill the gap ahead of the Government’s future licensing requirements for FSPs, aiming to bring consistency, accountability and consumer protection to the flexibility market. It will set out robust requirements for how providers communicate with customers, how they onboard participants and handle and share data, and how they design fair and transparent reward structures.
There will be a Scheme launch event this afternoon (8th of December) in London, with speakers from key stakeholders in the industry.
The launch builds on the outputs of the HOMEflex project, which developed a Code of Conduct for FSPs and defined the minimum consumer protections needed for domestic and microbusiness flexibility services. This new extension of the Flex Assure scheme provides the supporting compliance infrastructure, giving the existing HOMEflex Code of Conduct practical enforcement through third-party assessment, ongoing monitoring and an independent dispute resolution pathway.
The scheme will be staggered in two phases with FSPs being able to sign up from today, whilst an Alternative Dispute Resolution Service (ADR) will go live from 8th January. The ADR will give customers an impartial route to raise concerns and seek resolution, providing an essential safety net.
This structure is designed to give customers and system operators the confidence that participating FSPs are acting in line with defined, independently validated standards helping reduce barriers to participation and improving consistency across the domestic flexibility landscape.
The scheme has been financially supported by the entire grid, with all GB Distribution System Operators (DSOs) onside, alongside support from the National Energy System Operator’s (NESO) Power Responsive programme. Flex Assure is also engaging with Ofgem, ensuring the scheme aligns with the direction of future regulation and can support the sector ahead of the regulation. Government and Ofgem are working to license the domestic sector by mid 2027, but until then Flex Assure will fill the gap for customers.
A step forward for consumer confidence
Charlotte Roniger, Scheme Manager at Flex Assure said, “The new Domestic and Microbusiness Scheme ensures flexibility providers actually deliver on their promises. With the backing of all GB DSOs and NESO’s Power Responsive programme, this gives customers the confidence to scale domestic flexibility, which is a crucial step for clean power by 2030.”
Ed Dodman, Chief Ombudsman at Energy Ombudsman, said, “We’re delighted that Energy Ombudsman has been confirmed as the ADR scheme for the Flex Assure domestic and microbusiness scheme. Consumer protection and access to redress are essential to building trust, especially with new technologies and emerging markets. This significant step brings clarity, consistency and accountability, giving consumers a clear and impartial route to raise concerns if things go wrong with energy related products as well as services. We welcome the scheme’s focus on delivering high, enforceable standards ahead of future regulation.”
