The National Audit Office has launched a new inquiry to examine whether systems and incentives in the regulated industries sufficiently and cost-effectively protect vulnerable consumers.

Introducing the study, the NAO said that through their condition or circumstances, vulnerable consumers are particularly susceptible to bad outcomes or experiences in regulated sectors such as energy, water, communications and financial services – a situation heightened by the importance of these services in everyday life.

 Issues faced by vulnerable consumers can include lack of access or choice, difficulty navigating firms’ processes, or disproportionately high bills. Anyone can become vulnerable, and the proportion of the UK population more likely to be at risk is set to increase, owing in part to the ageing population, the NAO said.

The study will examine whether systems and incentives in the regulated industries sufficiently and cost-effectively protect vulnerable consumers. This will include consideration of:

• the role of regulators within the wider landscape that includes government departments, ombudsman services, charities and firms themselves;
• how regulators incentivise firms to identify and consider the needs of vulnerable consumers;
• and the extent to which information on the costs and outcomes of different initiatives is being used to target activities that are having the greatest impact.

Organisations or individuals who want to provide evidence for the NAO study should email the study team on This e-mail address is being protected from spambots. You need JavaScript enabled to view it , putting the study title Vulnerable consumers in regulated industries in the subject line.

The NAO will publish a report on the study in Spring 2017.