The Utility Regulator has published a Call for Evidence on the treatment of corporation tax for Kinecx Energy (formally known as firmus energy (Distribution) Limited) and Phoenix Energy.
We are assessing whether the historical approach to the treatment of corporation tax for these companies remains fit for purpose, particularly in light of:
Increasing corporation tax liabilities that now exceed the implicit allowances.
Concerns about financeability and credit ratings, especially for Phoenix Energy.
The potential for consumers to pay twice if a transition to a post-tax approach is not carefully managed.
Stakeholder engagement plays an important part in our regulation process, and we encourage you to become part of this.
All stakeholders, including regulated companies, consumer bodies, and government departments are invited to provide evidence and views on:
Corporation tax historical allowances and corporation tax liabilities.
The implications of changing the regulatory approach to corporation tax.
Debt financeability metrics.
The responses we receive will inform a further consultation in 2026, leading to a final policy position ahead of the GD29 price control determinations.
For further information on the consultation, including details on how to respond, please visit our consultation section.