Three more energy companies go bust

A trio of energy suppliers have gone bust in response to rising energy prices, affecting 230,000 households.

Enstroga, Igloo Energy and Symbio Energy have all stopped trading.

Igloo Energy is the biggest of the three, providing energy to around 179,000 UK customers, compared to 48,000 for Symbio and 6,000 for Enstorga.

Wholesale gas prices have increased by 250% in the UK since January, and 70% since August.

These latest failures follow the recent demise of People’s Energy, Utility Point, PfP Energy, Green Supplier, Avro Energy and MoneyPlus Energy, bringing the total to nine failures, leaving well over 1.5 million customers out in the cold.

Sarah Coles, personal finance analyst Hargreaves Lansdown, said: “This is horrible news for another 230,000 people, who are highly likely to see their energy bills shoot up overnight, and there’s nothing they can do about it.

“On the plus side, the system is set up so that you won’t run the risk of being cut off. Ofgem will appoint a new supplier, and all your outstanding credit will be honoured. You just need to take a meter reading and sit tight until you’re completely switched.

“But that’s just the half of it. Normally in this situation, as soon as you’ve switched over, you can move to another competitive deal and cut your bills. At the moment, however, there just aren’t any cheap deals around. It means the standard tariff your new provider offers may be the best thing you can find right now.

“It means that people who were on cut-price deals with these nine providers face horrible hikes in their energy bills. And to make matters worse, when the energy price cap rises in April, these tariffs are likely to rise too. If you’re in this position, you’ll need to keep an eye on the market, so that when a better deal comes along, you can pounce.”

Customers with Enstroga, Igloo Energy and Symbio Energy will be contacted by their new supplier once Ofgem makes a selection.

Households are advised to stay put and wait until their new supplier contacts them before looking to switch to another supplier.

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