In partnership with PLMA, this group is for practitioners from energy utilities, solution providers, and trade allies to share load management expertise and explore innovative approaches to program delivery, pricing constructs, and technology adoption.


Is the UK Going To Face a Harsh Winter?

image credit: Agata Bertolini / Scopio
Julian Jackson's picture
Staff Writer, Energy Central, BrightGreen PR

Julian Jackson is a writer whose interests encompass business and technology, cryptocurrencies, energy and the environment, as well as photography and film. His portfolio is here:...

  • Member since 2020
  • 503 items added with 187,303 views
  • Nov 29, 2021

More power suppliers go bust

The UK is facing a very difficult winter for energy supplies to customers. Many of the country's small energy suppliers have gone bust, not having enough capital to hedge purchases of energy on the market as gas prices rose. On Monday, one of the larger suppliers, Bulb, went into administration, leaving the government to pick up the pieces. Bulb was the seventh-largest company and had over 1.7 million customers, so this is bound to cause problems.

This is on top of the twenty that have collapsed since September. Another eleven are teetering on the brink of failure, according to accountants Price Bailey, who checked the credit risk scores of all domestic electricity and gas licensees registered with Ofgem, the regulator for electricity and gas markets. They found that these were deemed to be at “Maximum Risk.”

So far the winter has been mild in Britain, but that could change. A cold snap would be very grim, especially as the government sold off gas storage, and the country only has about three days worth in reserve, less than other European countries. A typical household bill could rise to over $2600 (£2,000) next year, up from $1600 (£1,277) currently under the energy price cap. But eleven more suppliers closing would send bills up even more. This is going to hit pensioners and those on limited incomes hard.

These circumstances are going to make for some tough decisions for energy managers if there are power shortages. Nationalisation of the suppliers has been talked about, but the current government are strongly against this kind of measure.


No discussions yet. Start a discussion below.

Julian Jackson's picture
Thank Julian for the Post!
Energy Central contributors share their experience and insights for the benefit of other Members (like you). Please show them your appreciation by leaving a comment, 'liking' this post, or following this Member.
More posts from this member

Get Published - Build a Following

The Energy Central Power Industry Network is based on one core idea - power industry professionals helping each other and advancing the industry by sharing and learning from each other.

If you have an experience or insight to share or have learned something from a conference or seminar, your peers and colleagues on Energy Central want to hear about it. It's also easy to share a link to an article you've liked or an industry resource that you think would be helpful.

                 Learn more about posting on Energy Central »