Three more energy companies stop trading

30th September 2021

A further three energy retailers have ceased trading impacting 233,000 customers.

The failures of Igloo, Symbio and Enstroga Energy take the total number of market exits so far this year to 12, exceeding the previous record of nine set in 2019.

Together the suppliers represent less than 1% of domestic customers in the market.

Under Ofgem’s safety net, the energy supply of ENSTROGA, Igloo Energy and Symbio Energy customers 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 the energy suppliers 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 customers of Enstroga, Igloo Energy and Symbio Energy that they do not need to worry. Under our safety net we’ll make sure your energy supplies continue. If you have credit on your Enstroga, Igloo Energy or Symbio Energy account the funds you have paid in are protected and you will not lose the money that is owed to you.

“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.

Commenting on the lastest failures Sarah Coles, personal finance analyst Hargreaves Lansdown said“This is horrible news for another 230,000 people, who are highly likely to see their energy bills shoot up overnight, and there’s nothing they can do about it. So far nine energy companies have fallen by the wayside in the past month alone, as these failures follow hot on the heels of the demise of People’s Energy, Utility Point, PfP Energy, Green Supplier, Avro Energy and MoneyPlus Energy, leaving well over 1.5 million customers out in the cold.”

“On the plus side, the system is set up so that you won’t run the risk of being cut off. Ofgem will appoint a new supplier, and all your outstanding credit will be honoured. You just need to take a meter reading and sit tight until you’re completely switched. But that’s just half of it. Normally in this situation, as soon as you’ve switched over, you can move to another competitive deal and cut your bills. At the moment, however, there just aren’t any cheap deals around. It means the standard tariff your new provider offers may be the best thing you can find right now. It means that people who were on cut-price deals with these nine providers face horrible hikes in their energy bills. And to make matters worse, when the energy price cap rises in April, these tariffs are likely to rise too. If you’re in this position, you’ll need to keep an eye on the market, so that when a better deal comes along, you can pounce.”

“In the interim you should work out how you’re going to absorb the extra costs into your budget. With your spending squeezed from all sides, this is no mean feat, but if you can make a list of everything you have coming in and everything you spend in a month (or if your banking app provides these details), it’s much easier to track down the areas where you can cut back so these higher bills don’t derail your finances.”