With OVO waiting for the crash?

happyhacker

Investigating whether to wait of switch seems to show that to wait and let OFGEM inform me of my new supplier is not a big deal and the new company takes on the service and my credit. Has anyone a different experience of their Electric company failing and being switched? I've been looking at E.on and Sainsbury (seem to be slightly more expensive but I guess use the same Help Desk service!). I live in Dorset. Like everyone I am expecting the % cut in charges in April but I suppose that will hit OVO even more.

GingerTim

https://forums.moneysavingexpert.com/discussion/6658741/with-ovo-waiting-for-the-crash

Why do you think OVO are going to go fail?

Ildhund

Which particular crash are you waiting for? And why do you think it's coming?

As regards the "% cut in charges in April", the bits being cut are some of the levies that energy companies are obliged to collect for HMG and eventually remit to the treasury. I've no idea how accounting for these levies happens, but there will probably be weeks or months between collection and remission. This could mean a temporary embarrassment if current incoming levies are being used to defray past ones, but I can't imagine it's a major cash-flow disturbance in the big scheme of things.

EssexHebridean

Could you provide a source for your apparent suggestion that OVO are going to fail? Without that, this comes across as rather a fearmongering sort of post.

In general terms - if your energy supplier fails, you will be transferred to a "Supplier of Last Resort" (SoLR) which be appointed within a few days. You will not lose your supply. You will not lose any credit you may have. You almost certainly WILL lose any specific tariff that you are currently on with the failed supplier.

Scot_39

Not answering for OP, but thee has been more negstive than positive press in recent past about Ovo.

Failing Ofgem stress tests in 24/25 year and Their 2025 financial reports in Nov iirc might not help the impression.

But theirs a margin between failing those initial Ofgem checks and failing completely. Or like Tomato they would be no more.

However given only 3 failed - it does suggest some are in a better state financially than others to withstand further shocks.

As did media articles about 100s of job cuts that circulated at the time of that report. Sky iirc said several hundred, others just 200.

But that isnt something new at Ovo - they cut in 2022 as well - common in many merged companies over time.

But other media comments suggest they could secure the required financing - even via existing creditors / backers, and with a new plan (including euphimism restructuring) were going to b3 qble satisfy Ofgem tests and so continue.

Given the problems over the d1.6m at Bulb, the risk of anyone in govt looking to see Ovo and its 4m customers fail and not stepping in seems remote. Even if means selective schemes like council tax band capped rebate (£150 A-D iirc) or more universal schemes like ebss £400 or epg style cap back.

happyhacker

https://forums.moneysavingexpert.com/discussion/comment/81915350#Comment_81915350

I asked AI to get a summary several times recently and suggests OVO has big debts and not "The company’s financial accounts explicitly state there is “material uncertainty” over its ability to continue as a going concern," and other points were made which can be easily regenerated. So afaiac there is a worry and am considering my options. Thanks (all) for the responses.

happyhacker

I asked AI to get a summary several times recently and suggests OVO has big debts and not "The company’s financial accounts explicitly state there is “material uncertainty” over its ability to continue as a going concern," and other points were made which can be easily regenerated. So afaiac there is a worry and am considering my options. Thanks (all) for the responses.

t0rt0ise

Like this…

https://watt-logic.com/2026/02/04/ovo-energy-looking-shaky/

MeteredOut

https://forums.moneysavingexpert.com/discussion/comment/81916066#Comment_81916066

Nothing you have said confirms there is anything to worry about. AI can and does make things up (hallucinating). There is a very good chance it consumed articles that spoke about OVO alongside other companies that could be in trouble.

I'm not saying OVO might not be in trouble, but don't trust generative AI to tell you that. It's a fancy word generator, not a search engine.

Generative AI also picks up on any bias in your question. So, if you ask "I heard OVO might go bankrupt - is that true?", it might be more likely to find articles that back up your premise.

Here's one real example of an AI hallunication: https://searchengineland.com/google-ai-doctor-defamation-466139

MWT

https://forums.moneysavingexpert.com/discussion/comment/81917546#Comment_81917546

Fortunately published accounts can be accessed on the Companies House website, and this part of the auditors report is probably the source for the AI note, but read the comment at the end where the auditors agree that is is correct to use the going concern basis for the accounts that were filed:

swanny65

Interesting post as I to have my own suspicions there me more the OVO's financial position than meets the eye.
I am on a fixed gas/electric tariff until end of Aug 26. I had solar panels with a battery system installed 10 days ago. As I am with OVO I decided to export excess solar under the SEG to them. They have all the necessary paperwork - MCS, National Grid permission etc
They called me the day after my application, which was excellent, to tell me they had the application but there would be a delay in starting the SEG process due to some changes. They would not tell me what the delay was other than it was with the regulator and it only affected OVO. They emailed and confirmed this an also said they would keep me updated every 5 working days on the SEG progress. This coupled with a voicemail that all OVO staff were unavailable when I called on 12 March due to a management call with staff, leads me to believe OVO could be making an announcement about operations in the coming days, weeks…..