Credit, Collections & Insolvency News
Ofgem has confirmed that two small energy retailers have become the latest suppliers to exit the market.
Whoop Energy and Xcel Power have announced they are ceasing to trade.
Whoop Energy supplies 262 unique customer accounts, gas and electricity, 50 domestic and 212 non-domestic. Xcel Power has 274 unique customer accounts, gas only, and all non-domestic.
Under Ofgem’s safety net, customers’ energy supply will continue and funds that domestic customers have paid into their accounts will be protected, where they are in credit. Domestic customers will also be protected by the energy price cap when being switched to a new supplier.
Customers of Whoop Energy and Xcel Power will be contacted by their new supplier, which will be chosen by Ofgem.
Neil Lawrence, Director of Retail at Ofgem, 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. 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. We will update you when we have chosen a new supplier, who will then get in touch about your tariff.”
The failures mean that three energy suppliers have exited the market so far this year following the loss of Together Energy.