Updating the licence application guidance: decision
Summary
Ofgem decides on updated guidance for gas and electricity licence applications. The new guidance reorganises and clarifies the application process for prospective licensees.
Why it matters
Operational refinement to reduce transaction costs for new entrants. No change to substantive entry criteria; guidance updates the process and expectations.
Areas affected
Memo
Updating the licence application guidance: decision | Ofgem Please enable JavaScript in your web browser to get the best experience. BETA This site is currently in BETA. Help us improve by giving us your feedback . Close alert: Updating the licence application guidance: decision Publication type: Decision Publication date: 16 June 2025 Last updated: 9 March 2026 Topic: Gas distribution, Energy licences and guidance Subtopic: Licence guidance Decision for: Updating the licence application guidance Show all updates Print this page Share the page Share on Facebook Share on Twitter Share on LinkedIn In April 2025 we consulted on proposed new licence application guidance and in June 2025 we published this decision to introduce version 2.0 of the guidance. Our June 2025 decision We considered the consultation responses received and made a decision on the new application guidance, which was introduced with immediate effect. See the application guidance to understand our current application requirements or read the decision document below to review the responses received, our replies and understand our rationale for the final guidance introduced. Further changes to the guidance On 27 February 2026, Ofgem published a document explaining the changes in version 2.2 of the licence application guidance. With this update we implemented a shorter six‑month supply application processing timescale and provided more detailed guidance and assessment criteria for the consideration of individually modified supply licences. Version 2.2 built on the changes introduced in version 2.1 of the guidance, published on 26 January 2026, which provided a clearer explanation of tacit authorisation and an improved notice of application process. These documents are published on this page. Read the licence application guidance Gas and electricity licence application forms Main document Updating the licence application guidance: supply licence application improvements February 2026 [PDF, 1.00MB] Updating the licence application guidance: January 2026 [PDF, 108.30KB] Decision on updating the licence application guidance: June 2025 [PDF, 151.45KB] Response documents E.on consultation response [PDF, 141.14KB] Print this page Share the page Share on Facebook Share on Twitter Share on LinkedIn All updates 9 March 2026 updated web text to reflect rationale for guidance changes. 27 February 2026 added 'Updating the licence application guidance: supply licence application improvements' documenting guidance updates. 26 January 2026 added 'Updating the licence application guidance: January 2026' documenting guidance updates. 26 January 2026 guidance update to description of the tacit authorisation process and improved process for publishing a notice of application. 16 June 2025 new guidance introduced following consultation. 23 April 2025 consultation on new draft guidance published. Close