There are fears that utility Bulb is on the verge of collapse as the prospect of a bailout deal has been questioned.
The company, which supplies around 1.7 million households, has been looking for a buyer or an investment for “at least a month”. according to The Timeson the struggles with skyrocketing wholesale energy prices.
14 more energy companies have gone bankrupt since August, so that their total of 2 million customers have to be taken over by other suppliers assigned by Ofgem.
The government has reportedly accelerated contingency plans for Bulb’s collapse, which ministers fear could come as soon as next week after news of potential buyers withdrawing.
Several other energy companies are believed to have reviewed Bulb’s finances, but sources say the supplier has nearly £ 1 billion in liabilities that have put off potential buyers.
The government said, “We have robust processes to ensure that customers do not experience disruptions in supply and that costs are minimized when a supplier leaves the market.”
A Bulb spokeswoman told The Times: “Our talks with multiple parties to secure additional funding continue to make good progress and we are encouraged by the decline in wholesale energy prices.”
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