Pseudo‑Fires in the Energy League: Two Suppliers Go South
Picture this: the gas market’s motors have turned into a runaway rocket, and the heat has pushed a couple of energy companies to the brink. That’s the headline story of Wednesday, when both Avro Energy and Green Supplier Limited officially slipped into administration.
Why the Collapse?
- Staggering price spikes – Wholesale prices for gas and electricity have climbed so high that even the most nimble suppliers are feeling the burn.
- Government support gaps – Smaller players are reporting that the government’s rescue packages have only been handed out to the big names.
- Financial squeeze – Avro, which serves 580,000 homes and businesses, and Green, with 250,000 customers, found their balances no longer capable of covering everyday costs.
Ofgem’s Safety Net
Ofgem’s director of retail, Neil Lawrence, has stepped in with a calm reassurance:
“Your energy will keep flowing,” he declared. “We’ll ensure you’re handed a Supplier of Last Resort, or if needed, a specialised administrator. Plus, any credit you have on your account is protected – no drains on your wallet.”
The Green Supplier’s Rally
Green Supplier Limited issued a stern statement:
- “We’re exiting the market because the government hasn’t delivered any support for smaller suppliers.”
- “The system is set up to favor the big guys, while smaller operators are left to flounder.”
Beyond the Two
Bulb, the UK’s sixth‑largest supplier with around 1.7 million customers, is also in the mix, partnering with Lazard to shore up its finances. Meanwhile, People’s Energy and Utility Point vanished last week, demanding Ofgem’s intervention to safeguard their users.
Financial Impact on the Average Household
According to industry whispers, rescuing all these troubled suppliers could cost the average British consumer over £1.1 billion. That’s a sum likely to pop up on your energy bill, practically as painful as finding out your last box of biscuits was moldy.
Live‑Chat is Dead (So the People Want an Extension)
When Alex tried to reach Avro, the phone was disconnected and the live‑chat was, frankly, off the rails. In the midst of a cost‑of‑living crisis, it’s no wonder the regulators are taking a more hands‑on approach.
What’s Next?
Ofgem will soon announce how it plans to handle the transition. Spectators are watching, waiting for stories of relief—or more drama—about how these turbulent times will shape the next chapter of Britain’s energy story.
