Energy companies which have gone bust and those at serious risk – see full list

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Energy regulator Ofgem has warned many firms are at risk of collapse due to a 250% surge in wholesale gas prices – but is your provider at risk? We take a look following Bulb’s special administration

Is your supplier on there?
Is your supplier on there?

For the first time, ‘cheap’ fixed energy deals now cost more than variable tariffs which have traditionally been the most expensive in the market.

Surging wholesale gas prices means the best fixed deals have been completely pulled, with firms increasing their tariffs to make up for out-of-control gas prices.

But variable tariffs are protected by the energy price cap – which means you could actually save £780 by sticking to the energy price cap.

It’s all linked to a gas price crisis that’s hit the UK in recent months – a move that triggered the collapse of several small energy firms that struggled to cope with the higher costs.

The industry forecasts the number of suppliers in the market to fall to just 10 by Christmas. That compares to 71 in January this year.

A report this week warned 11 more firms are on the brink of collapse, after Bulb entered special administration on Monday – in a shock for its 1.7million households.

You won’t be cut off if your energy supplier stopped trading
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Image:

Getty Images/iStockphoto)

But what firms have struggled this year? We take a look at all the energy suppliers that have collapsed in the last 12 months.

If your supplier collapses, you won’t be left without gas or electricity.

Regulator Ofgem says you should take a meter reading and a new supplier will be assigned to you. We’ve got more on your rights here.

Energy suppliers that have collapsed in the past 14 months

A total of 28 firms have gone into administration since September 2020.

  1. Effortless – September 2020
  2. Tonik Energy – October 2020
  3. Yorkshire Energy – December 2020
  4. Simplicity Energy – January 2021
  5. Green Network Energy – January 2021
  6. Hub Energy – August 2021
  7. PfP Energy – September 2021
  8. MoneyPlus Energy – September 2021
  9. Utility Point – September 2021
  10. People’s Energy – September 2021
  11. Green – September 2021
  12. Avro Energy – September 2021
  13. Igloo Energy – September 2021
  14. Symbio Energy – September 2021
  15. ENSTROGA – September 2021
  16. Pure Planet – October 2021
  17. Colorado Energy – October 2021
  18. Daligas – October 2021
  19. GOTO Energy – October 2021
  20. Bluegreen Energy Services Limited – November 2021
  21. Omni Energy Limited – November 2021
  22. MA Energy Limited – November 2021
  23. Zebra Power Limited – November 2021
  24. Ampoweruk Ltd – November 2021
  25. CNG Energy – November 2021
  26. Neon Energy – November 2021
  27. Social Energy Supply – November 2021
  28. Bulb in ‘special administration’ meaning it will continue to operate as normal under its administrators – November 2021

A further 19 have gone under since 2019:

  1. GB Energy – November 2016
  2. Future Energy – January 2018
  3. National Gas and Power – July 2018
  4. Iresa – July 2018
  5. Gen4u – September 2018
  6. Usio Energy – October 2018
  7. Extra Energy – November 2018
  8. Spark Energy Supply Limited – November 2018
  9. OneSelect – December 2018
  10. Economy Energy – January 2019
  11. Our Power – 2019
  12. Brilliant Energy – March 2019
  13. Cardiff Energy Supply – August 2019
  14. Solarplicity – August 2019
  15. Eversmart – September 2019
  16. Rutherford Energy – October 2019
  17. Toto Energy – October 2019
  18. Breeze Energy – December 2019
  19. Gnergy – March 2020

What firms are at risk right now?

Ofgem has said it is likely that more firms will fold in the coming months due to the fact that they can’t cope with the rising cost of wholesale gas.

It is currently asking companies to provide weekly updates on their financial status as part of increased efforts to be ready for any more collapses.

Last week, the energy watchdog ordered five energy suppliers to pay what they owe into a scheme to support small-scale renewable energy production or risk having their licences destroyed.

It said the firms in question had missed a deadline to pay £575,000 into the feed-in tariff scheme, which is paid by suppliers to provide funds for small-scale producers of renewable energy.

Ofgem said Orbit Energy has missed the largest payment, of more than £451,000.

The remaining four suppliers, who owe between £19,000 and £47,000 are Whoop Energy, Simply Your Energy/Entice, Social Energy Supply, and Delta Gas and Power.

The energy regulator said: “The five suppliers must now make the payments owed immediately.

“If the suppliers fail to comply with the order, Ofgem may take further enforcement action.

“They could end up having their licences revoked or face a financial penalty.”

Local authority-backed energy supplier Together Energy is also understood to be seeking emergency funding.

According to Sky News sources, the supplier, which delivers energy to 170,000 homes, is in crisis talks.

The company is 50%-owned by Warrington Borough Council and is working with advisers at Alvarez & Marsal to raise additional capital.

Will the energy price cap rise again?

Yes, this is highly likely. Analysts estimate that around 15 million households will be hit with a £178 annual hike on their energy bills from next April.

Experts at research agency Cornwall Insight expect that the price cap will be hiked to £1,455 for the typical household.

The cost of gas on wholesale markets has jumped 70% since August and 250% since the beginning of the year, according to trade body Oil & Gas UK.

The price cap is reviewed by regulator Ofgem every six months based on a set of rules.

April’s level would be a 14% increase on the already record-setting £1,277 that came into force on October 1.

It is also £317 per year higher than current levels.

Cornwall Insight senior consultant Dr Craig Lowrey said: “Although the winter 2021-22 cap was a new record (£1,277 for a typical dual fuel direct debit customer), Cornwall Insight modelling indicates that – given the extent of the increases in the wholesale market and the manner in which the cap is set – this is set to be surpassed by that for summer 2022.”

He added: “We would need to see a material and sustained reduction in the wholesale market to avoid the kind of cap levels we are predicting for the period.”

Dr Lowrey’s team also predicted that high prices are likely to stick around. The cap will drop slightly next winter, but only to £1,416, which would be the second highest level on record by some distance.

The spike in the forecasts demonstrates the unexpectedly large upswing in gas prices in recent months.

As recently as July, Cornwall Insight had predicted the cap to be cut to £1,251 in April, and further down to £1,219 for the winter of 2022.

Predictions are based on the current wholesale prices of gas and electricity. Any changes to those prices will be taken into account by Ofgem when it announces the next price cap early in 2022.

The price cap is not an overall cap on how much a household can pay for its energy bills – households that use more energy will pay more. The level is calculated based on the usage of a typical household that buys both gas and electricity.

How long could rising prices last?

Europe’s winter heating season typically begins in October and wholesale prices are not forecast to fall significantly for the remainder of this year.

Even then, the price cap is based on the cost of wholesale prices six months ago – so the latest cap factors in how much wholesale prices were in the spring.

The current surge will be reflected in April 2022’s new energy price cap, which will set the bar for the next six months of bills.

That means you should keep a close eye on your bills for at least the next year.

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George Holan

George Holan is chief editor at Plainsmen Post and has articles published in many notable publications in the last decade.

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