In the wake of the bankruptcy of the energy supply company, more than two million customer accounts are being transferred to other companies.
The rising cost of wholesale gases has caused 12 energy companies to cease operations in 2021, and more are expected to collapse soon.
Citizens Advice has claimed that this will result in energy bills paying around £ 30 more per month for those who have recently switched from broke businesses.
Read more: When is the cheapest time to heat?
Called the “winter of dissatisfaction”, a 12 percent increase in the energy price ceiling has already been implemented and could lead to 22 percent of English households falling into energy poverty – activists warn.
Clare Moriarty, General Manager of Citizens Advice, said: “We are particularly concerned about those who will face desperate decisions this winter due to the cumulative impact of rising bills, planned universal credit cuts and inflation.”
“The government and Ofgem need to guarantee that the warm housing rebate for people switching to new energy suppliers continues. People on the lowest incomes should be able to receive winter emergency aid to help them in the cold months ahead stay warm. “
Who are the six big energy suppliers?
The big six energy providers are:
- British gas
- EDF energy
- Scottish power
These six energy giants make up around 70 percent of the market share, first and foremost British Gas with 20 percent.
By 2014, these companies controlled 90 percent of the market, when Ofgem (Bureau for Gas and Electricity Markets) allowed smaller providers to compete and possibly cut prices for consumers.
However, this did not happen.
In 2017, a planned merger between SSE and npower was discarded, but the consolidation to “Big Five” continued. Npower was taken over by E.ON in 2019 as part of a previously planned asset swap between the parent companies Innogy and E.ON respectively.
npower is currently a subsidiary of E.ON, but operates largely as a separate company and thus holds its place in the Big Six list.