Together Energy fell into administration last week, joining 26 other energy suppliers that have failed as a result of soaring natural gas prices since last August. Along with its brand Bristol Energy, Together served 176,000 households and a single business energy customer.
Protected by Ofgem’s safety net, those customers have continued to receive gas and electricity supplies as normal. The firm’s collapse also triggered Ofgem’s supplier of last resort (SoLR) mechanism, a “competitive process” through which the regulator selects a new firm to take over the abandoned accounts.
The appointed firm is British Gas, Britain’s largest energy supplier, supplying more than seven million homes and businesses.
British Gas will contact Together Energy customers in the coming days to set up their accounts. Those customers should take a meter reading but not attempt to switch away until British Gas has reached out to them. The credit balances of domestic customers will be protected.
Neil Lawrence, Ofgem’s director of retail, said: “I am pleased to announce we have appointed British Gas for the customers of Together Energy. We understand that this news may be unsettling for customers, however they do not need to worry. Their energy supply will continue as normal, and customer credit balances will be honoured.”
Chris O'Shea, chief executive of British Gas owner Centrica, said: "We welcome customers of Together Energy to British Gas, and we’ll ensure the switchover is as smooth as possible. We’re a brand trusted by millions and our new customers will benefit from the range of advantages that come with being a British Gas customer, including access to exclusive offers on services like boiler cover, Hive products and British Gas Rewards.
“The actions we have taken over the past couple of years mean Centrica is in a robust financial position, and as a responsible energy supplier built on a sustainable model we are well hedged for the winter and beyond.”
More than four million households have been allocated to a new supplier through the supplier of last resort mechanism since August. Large, well-resourced suppliers such as British Gas have been the primary destination for these customers.
British Gas has served as the supplier of last resort for Neon Reef, Social Energy Supply, PfP Energy, MoneyPlus Energy, People’s Energy, Zebra Power, Bluegreen Energy. In total, it has absorbed 700,000 customers from failed rivals since the start of 2021.
“We have now stepped in to help around 700,000 customers who have found themselves without a supplier over the past year, and we’ll continue to engage with the Government and Ofgem to find ways to help stabilise and support the sector,” O’Shea said.
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