Alistair Buchanan, the electricity and gas regulator's chief executive, called on the big six power companies to pass on steep falls in wholesale energy prices by February next year because some businesses feel not enough is done to help out companies.

Technoprint managing director Mark Snee said: "The unfair Contracts Act doesn't apply to businesses, so we are left particularly vulnerable.

"Passing on savings to businesses is as important as helping out poorer people because it will help prevent job cuts."

He added: "The government needs to look at unfair competition in the energy market. With only six companies, there is not enough incentive. No company should hold more than say 10% of the market."

The Tories however, have gone after the regulator itself criticising Ofgem for failing to provide a "rigorous and clear sighted" approach.

GMB trade union leader Paul Kenny said: "Ofgem does not have the power or the political will to stop the energy companies ripping off consumers.

"Threatening to refer these companies to the competition commission is not taking action, it is the equivalent to sending a memo."

The Energy Retail Association, which represents the six energy producers, said: "All the companies will be considering the concerns Ofgem has raised.

"However, today's statement also recognises that energy companies have already invested £300m in response to the regulator's report."