Octopus Energy has told Ofgem it has met its capital buffer target, ending a year‑long dispute over regulatory compliance. The London‑based supplier, which overtook British Gas to become the UK’s largest household energy provider, must now hold £115 net adjusted assets per dual‑fuel customer, a figure roughly equal to £800 million given its 8 million customers.

The capital rules, introduced after 2021‑22 supplier failures amid Russia‑led supply shocks, set a floor of £0 per customer and a target of £115. Octopus fell short of the target for months, sparking criticism from rivals and calls to bar new sign‑ups. Its founder Greg Jackson argued the regime ignored its Shell contract, which he said buffered price swings.

Ofgem’s latest assessment confirms Octopus now meets the £800 million benchmark, a win that could lift its dividend policy and expand customer growth. The regulator may still review financial arrangements, but the company’s compliance removes a key hurdle that had limited its ability to take on new accounts during the crisis.

Octopus’s move restores confidence among investors and customers alike, positioning it to capitalize on the post‑crisis market. With over 8 million users and backing from Generation Investment Management, the company can now focus on scaling operations without regulatory constraints.