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Sixth UK Energy Provider Collapses Within Three Days

by Emma Brazell
November 04, 2021, 12:57 PM
in News and Opinion
Reading Time: 2 mins read
A A
2

natural gas heatingCNG Energy has become the latest energy provider to go bust, affecting around 41,000 customers.

It comes after Omni Energy Limited, MA Energy Limited, Zebra Power Limited, and Ampoweruk Ltd all ceased trading yesterday – hitting around 23,700 households and businesses.

Bluegreen Energy Services, which served 5,900 customers, also fell on Monday- meaning six small firms have collapsed in the space of just three days.

A total of 22 companies have now stopped trading this year, compared with 22 between 2021 and 2020.

There are fears the UK’s seventh biggest energy provider Bulb could be next to go.

The firm – which serves around 1.7 million people – is the latest to be pushed to the brink by soaring wholesale energy prices.

Bosses were in discussions last week ‘with multiple parties to secure additional funding,’ with the talks said to be making good progress.

Customers have been advised ‘not to panic’ by Government regulator Ofgem which says it will ‘provide a safety net ensuring energy supplies continue’.

But Gillian Cooper, Head of Energy Policy for Citizens Advice, has warned it will be customers who ‘pay the price with uncertainty, inconvenience and ultimately higher bills as suppliers continue to fall like dominoes.’

A statement on the CNG website on Wednesday said bosses were ‘devastated’ to see the company’s demise after 27 years.

It added: ‘Ofgem the energy regulator is appointing a new supplier for CNG customers.

‘Customers need not worry, their supplies are secure and funds that domestic customers have paid into their accounts will be protected if they are in credit.

‘Ofgem’s advice is not to switch but to wait until they appoint a new supplier for you.’

Neil Lawrence, Ofgem director of retail, said: ‘Ofgem’s number one priority is to protect customers.

‘We know this is a worrying time for many people and news of a supplier going out of business can be unsettling.

‘I want to reassure affected customers that they do not need to worry under our safety net we’ll make sure your energy supplies continue.’

h/t RO

Read more at Metro

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Comments 2

  1. Dave O says:
    4 years ago

    Coming soon to an energy company near you — collapse and bankruptcy.
    Forced by green energy policies.

    Reply
  2. Spurwing Plover says:
    4 years ago

    RENEWIBLE eNERGY IS JUST THE pIPEDREAM OF A BUNCH WHO HAVE BECOME DELUSIONAL OVER THIS WHOLE THING

    Reply

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