Concern about Outfox the Markets future.

whattochoose

A little worried to read this..
https://archive.vn/t9cDK

Andrew1981

Thanks OP, not ideal! I'm on a standard rate (no fix or anything), and £300 in credit.

From what I can see, my credit is transferred and I'd no doubt go onto another supplier on the same rate, so in my case there's no huge financial implication....  Unless anyone can advise otherwise? 

ariarnia

from a purely selfish view it means more SOLR costs added to our standing charges. they aint never going down... 

rothesy

This is most worrying.  I don't want to see any more suppliers closing.  I have a complaint with the ombusdsman service about Logicor, now known as Tomato Energy.  I want my compensations from them.  Outfox paid me lots in compensations due to their being slow with bills and refunds.

inspectorperez

TBH I'm surprised OTM have lasted so long. I can only think that their license wasn't revoked at the last OFGEM inspection as a form of deferral mechanism given the sheer number of other energy companies going to the wall at that time.

Just hope that more stringent procedures will be put in place about the quality/suitability of directors appointed to such companies and the robustness of business plans to avoid the burden of more cost being shared around energy users arising from distress situations like this.

EssexHebridean

A reminder that if people did want to switch from OFTM then they should do it quickly - and NOT risk instigating a switch at the point where any announcement about them failing is made - that turns into a surefire way to not see credit repaid to you for many months, in the experience we've heard from many posters on here. 

Marvel1

Lovely an increase in standing charges on way.

MattMattMattUK

ariarnia said:

from a purely selfish view it means more SOLR costs added to our standing charges. they aint never going down... 

Marvel1 said:

Lovely an increase in standing charges on way.

When you factor in that the government still intends to reclaim the costs of Bulb's special administration via the standing charge any failure of OFTM will be a rounding error. Even before the costs and delays caused by the legal challenge against the deal with Octopus the cost was around £6.5 billion which was £225 per household, the delays caused by the legal challenge could add another £200+ million, or considerably more if it drags on later than the hearing due this month. The difference is a total failure of OFTM would cost no more than £25 million, or around 85p per household. 

ariarnia

MattMattMattUK said:

ariarnia said:

from a purely selfish view it means more SOLR costs added to our standing charges. they aint never going down... 

Marvel1 said:

Lovely an increase in standing charges on way.

When you factor in that the government still intends to reclaim the costs of Bulb's special administration via the standing charge any failure of OFTM will be a rounding error. Even before the costs and delays caused by the legal challenge against the deal with Octopus the cost was around £6.5 billion which was £225 per household, the delays caused by the legal challenge could add another £200+ million, or considerably more if it drags on later than the hearing due this month. The difference is a total failure of OFTM would cost no more than £25 million, or around 85p per household. 

theres a phrase about straws and camels. problem isnt out fox the market. the problem is that theres still more than one energy supplier out there thats on wobbly sand and this suggests the government arent going to step in the way they did for bulb (which i agree with given how much that cost!) so this could drag on for years with them going under one by one or in waves until theres only the big 6 left. 

MattMattMattUK

ariarnia said:

MattMattMattUK said:

ariarnia said:

from a purely selfish view it means more SOLR costs added to our standing charges. they aint never going down... 

Marvel1 said:

Lovely an increase in standing charges on way.

When you factor in that the government still intends to reclaim the costs of Bulb's special administration via the standing charge any failure of OFTM will be a rounding error. Even before the costs and delays caused by the legal challenge against the deal with Octopus the cost was around £6.5 billion which was £225 per household, the delays caused by the legal challenge could add another £200+ million, or considerably more if it drags on later than the hearing due this month. The difference is a total failure of OFTM would cost no more than £25 million, or around 85p per household. 

theres a phrase about straws and camels. problem isnt out fox the market. the problem is that theres still more than one energy supplier out there thats on wobbly sand and this suggests the government arent going to step in the way they did for bulb (which i agree with given how much that cost!) so this could drag on for years with them going under one by one or in waves until theres only the big 6 left. 

The camel is dead! 

There will likely be a few smaller players who go bust, but the majority who were in a difficult place financially have already gone under and the remainder are unlikely to cost a huge amount, the example above that OFTM would only cost each household 85p in total gives one an idea of the small scale of the cost compared to the previous wave. It currently looks like we might end up with 6-8 large suppliers, 4-8 small but financially stable suppliers and then a handful of virtual suppliers (eg. Sainsbury's Energy style). Between them British Gas, E.ON, EDF, Scottish Power, OVO Energy, Shell, SSE and Octopus Energy (including the corpse of Bulb) are around 90% of the market, vs the traditional "Big Six" having 75% of the market a year ago. 

Mstty

Cue the low users whey do I have to pay £1 standing charge a day. Can't wait for those threads.