Another two energy suppliers have gone bankrupt in the UK. These are Entic Energy and Orbit Energy. This brings the total to 23 energy companies that have gone bankrupt since the beginning of August as a result of high energy prices.
Rising energy prices have caused major problems in the UK energy sector. Many smaller energy suppliers enticed customers with low rates and lost a lot of money on the fixed contracts as the energy they had to buy became more expensive. In addition, a maximum rate for energy applies in the United Kingdom, which means that companies are currently also losing money on variable contracts.
Thursday involved two relatively small companies. Entic Energy has 5400 customers and Orbit Energy 65,000. Earlier this week, the British government nationalized Bulb Energy, which was also on the brink of collapse due to high energy prices. That company has 1.7 million customers.
The problems at Bulb Energy have forced more than 2 million British households to switch energy suppliers. They were transferred by the regulator to other companies, just as happened a number of times in the Netherlands recently. Bulb’s nationalization came after the larger British energy companies indicated that they could not just take on more customers without getting into trouble themselves.
Two more British suppliers collapsed due to high energy prices
Source link Two more British suppliers collapsed due to high energy prices