Together Energy collapses, leaving 176,000 needing a new supplier
Gas prices have soared in the last year, squeezing suppliers out of the market.
Your support helps us to tell the story
From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.
At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.
The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.
Your support makes all the difference.Together Energy has become the 26th energy company in just five months to be buried under the weight of soaring gas prices.
The business has exited the market, regulator Ofgem said, leaving its 176,000 household customers without an energy supplier.
Ofgem has taken on the job to find them a new home with one of Together’s rivals.
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
The firm also owned Bristol Energy, Ofgem said.
“Ofgem’s number one priority is to protect customers,” the watchdog’s head of retail Neil Lawrence said.
“We know this is a worrying time for many people and news of a supplier going out of business can be unsettling,” said the regulator’s head of retail Neil Lawrence.
“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.
“Ofgem will choose a new supplier for you and, while we are doing this, our advice is to wait until we appoint a new supplier and do not switch in the meantime.
“You can rely on your energy supply as normal.”
It is now a well-rehearsed statement from Ofgem, which has so far managed to find new homes for all energy customers left in the lurch by a failing supplier except Bulb, which had so many customers that Ofgem and the Government feared no other supplier could step in without being at risk themselves.
Bulb was granted a £1.7 billion loan from the Government and is being run under special administration.
Energy companies were the first to feel the force of the rising gas price. Some had prudently bought much of their gas in advance, but those that had not were squeezed between the rising prices and the cap on what they can charge consumers.
However, in April that cap will be changed so the pain will then be passed from suppliers to their customers.
Where the cap will be set is still to be decided, but analysts believe it could reach around £2,000 per year for an average household – more than £700 higher than today.