Utility Point to Cease Trading

The_Green_Hornet

Dorset-based Utility Point has informed Ofgem, the industry watchdog, that it was unable to find a buyer and will cease trading, affecting 225,000 customers, Sky News learns.

https://news.sky.com/story/utility-point-latest-energy-supplier-failure-amid-wholesale-price-surge-12407689

merchcon55

From the above:

"Wholesale energy prices have soared to record levels and with the added price cap on default tariffs, the costs of supplying energy have increased dramatically.

"With every supplier undercharging for energy means that the fair cost that the regulator was trying to encourage has in fact had the opposite effect.

"This mix of unfortunate circumstances and lack of commercialism in the industry made it impossible to continue.

Unless the Government will legislate to allow an immediate rise to the Price Cap, many more will follow. Government cannot oblige companies to supply a product/service at a forced loss - the company will simply make the commercial decision to cease trading. There is no moral obligation for any utility to "keep the lights on". 

Swipe

Another one bites the dust. Symbio is next for sure.

wakeupalarm

Consumers are bearing the costs of this.  Each time an energy company fails the direct cost is past onto consumers bills.
Its a never ending cycle of higher costs, leading to more failures, leading to costs being passed onto consumers, etc.

The retail energy market is broken.

Inigo_Montoya

b*ll*cks - more hassle (again)

with UP at two different properties so this is going to be fun

BUFF

Swipe said:

Another one bites the dust. Symbio is next for sure.

Neon Reef are associated with Utility Point ...

MastG

Saw this coming.... trying to get  money back from them since christmas..
Last statement £500 in credit with a £75 month DD !

razord

Yeh, aren't neon reef the same as utility point?

[Deleted User]

Is the Government brave enough to carry out an emergency review of the Ofgem Cap? If they don’t then more suppliers will undoubtedly fail, with costs passed on to everybody, and bigger suppliers will end up as the only beneficiaries. The downside of a revised Ofgem Cap is that tariffs will rise. This is a ‘perfect storm’ for a Government that wants to add green taxes to pay for Net Zero.

Inigo_Montoya

BUFF said:

Swipe said:

Another one bites the dust. Symbio is next for sure.

Neon Reef are associated with Utility Point ...

I think neon reef is a newer entrant though so maybe they might last a bit longer ?

I seem to recall someone saying on here that UP customers were automatically being transferred over the neon reef 

Maybe they were transferring over all their profitable customers before they let UP fold ? 

As well as being a double customer of UP, we are also customers of Neon Reef & Symbio so are on very precarious ground

Not a great time to be transferred over to the SOLR - almost bound to be an awful expensive tariff  

Inigo_Montoya

MastG said:

Saw this coming.... trying to get  money back from them since christmas..
Last statement £500 in credit with a £75 month DD !

£370 in credit with £75 DD on one account here - only just joined with the other so that ones OK