Major update as 84,000 energy customers moved to British Gas after supplier suddenly goes bust
THOUSANDS of households have been given a major update after their energy supplier suddenly went bust.
Some 84,000 Rebel Energy customers in the UK were left without a supplier when the firm went bust last week.
They have now been moved to big supplier British Gas.
Customers can expect to be contacted about the switch in the coming days but their energy supplies will continue as normal.
Rebel Energy announced on April 1 it was ceasing to trade, which meant energy regulator Ofgem had to step in to make sure customers did not have their supply disrupted.
It has then been up to the regulator to find a new supplier for tens of thousands of households.
Ofgem said in an update today: “Making sure consumers face as little disruption as possible when a supplier exits the market is our number one priority, so I am pleased to confirm we have appointed British Gas for customers of Rebel Energy.”
Chris O’Shea, group chief executive at Centrica, which owns British Gas, said: “We’re looking forward to welcoming thousands of customers of Rebel 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 PeakSave’’.
Tim Jarvis, director general for markets at the regulator, said customers “do not need to worry” as their credit balances remain protected and there will be no interruption to their energy supply.
He added that Rebel Energy customers will be placed onto a “competitive tariff”.
However, it’s worth knowing that you won’t need to necessarily stick with British Gas.
You will be able to switch supplier if you choose once the switch to British Gas has taken place, and you won’t be charged an exit fee.
Ofgem has recommended that Rebel Energy customers don’t try to make the switch until they’re officially moved onto British Gas.
If you’re a Rebel Energy customer, you should also take a meter reading now so you have the information ready for your new supplier.
Rebel Energy is among a number of small energy firms to have gone bust in recent years.
Announcing the collapse, chief executive Dan Bates said the company had faced “a perfect storm of rising wholesale costs during Jan and Feb together with the pressure of the cost of living crisis on our customers”.
He said Ofgem had also placed a Provisional Order on the business which led to an “unexpected forecast cash shortfall in April”.
Mr Bates added: “Rebel Energy set out to be a different type of supplier, aiming to make things fairer for customers and the planet.
“We hope we were able to make a difference to the customers we served and have appreciated your support over the last few years.”
When energy firm Bulb collapsed back in November 2021, its customers were taken on by Octopus Energy.
Some 1.5million customers were moved over, making Octopus the second largest energy company in the UK.
Octopus also acquired 1.3million customers when it bought Shell Energy’s household gas and electricity firm last year.
What should I do if my energy supplier has gone bust?
Ofgem has strengthened its rules following the energy crisis so suppliers are more resilient to shocks and less likely to fail.
Still, there is the risk of some suppliers collapsing – especially smaller companies.
If you’ve been affected, you should wait until the regulator has allocated you a new supplier before taking any action on switching.
You should be contacted by the supplier.
You can switch if you would like to once you’ve been moved over.
In this case you won’t be charged any exit fees.
In the meantime, you should take a meter reading ready for when your new supplier contacts you.