Energy suppliers going bust

I’ve just had an email to say my energy supplier, People’s Energy, has gone bust, along with 4 other suppliers this week alone. Looks like the reselling bubble has burst.
Prices are so high at the moment, they're probably being squeezed.
If your account is in credit your money is protected, unless you’re a small business customer. Your new supplier will tell you how you’ll be paid back.
 
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Happened to my supplier earlier in the year. Took months to properly switch over to EDF but didn't have to do anything and the tariff I was put on was comparatively very cheap.
 
Always found it hard to get my head around really. All these suppliers are essentially supplying nowt. Just buying it off somebody else then selling it on for profit.
Same as insurance companies. They are backed by a bigger company so in reality are just middle men that sell nothing
 
Mine went bust last year, Yorkshire Energy. They handed it to Scottish Power who took 6 months to return my balance after telling me different things at different times. I doubt any of them are that trustworthy tbh.
 
Same as insurance companies. They are backed by a bigger company so in reality are just middle men that sell nothing
Absolutely nothing like insurance companies tbf.
They’re just a face for companies like AXA or Lloyd’s. So when you get a “deal” at something like elephant it’s just a face for one of the main insurers

Elephant is an Admiral sub brand, or it was about 20 years ago anyway. Their policies are underwritten by someone, but it's completely different to the energy market.
These smaller energy companies source energy from various suppliers. They're at an advantage in a falling market at they don't buy as much in advance as the big players.
Likewise they're often canny knackered if there is a wholesale price spike and their customers disappear in droves.
 
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Had my email from utility point today.

Dickheads owed me 700 quid which I have been trying to get back since may. They kept on saying it's due for a certain date and changed the date to a later one.

Think I will get it back I think. The absolute arseholes almost doubled my final direct debit without telling me, to 120 quid on the day they announced they went bust.

The owners went to neon reef,avoid them Thieving pricks.
 
Problem with the smaller suppliers they normally buy fuel from the distributors in three month bulks larger suppliers buy in 12 month bulks. If the prices increase the smaller suppliers are fucked
 
Mine went bust last year, Yorkshire Energy. They handed it to Scottish Power who took 6 months to return my balance after telling me different things at different times. I doubt any of them are that trustworthy tbh.
They are notorious. Had one of my team in tears years ago as they owed her £600 and just wouldn't pay up.
 
The profit margin for the smaller energy suppliers is miniscule while the financial commitments required by Ofgem in order to retain a supply license are substantial. I don't know why any sane person would go into the energy supply business unless they were able to produce energy too

Don't think OFGEM will allow that anymore.
I think the recent rise in gas prices hasn't helped them.

Good thing is that these companies going bust doesn't significantly impact the customers.

I think 50% or so of our electricity is generated by gas still.
 
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Socialist!

Don’t you know private companies provide a better service, except when they go bust, at a much cheaper price, except when they put the price up above the rate of inflation.

Tbf the government price cap shows they have little faith in the free market, just like they've had to appoint a regulator and an Ombudsman for the industry.

Energy is pretty much an essential service, not a luxury and companies know this.
 
They’re just a face for companies like AXA or Lloyd’s. So when you get a “deal” at something like elephant it’s just a face for one of the main insurers

Underwriters will use brands to write different classes of business. Completely different to buying something to sell on, how would you buy insurance to sell at a profit?
 

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