Why you shouldn’t switch your energy provider right now.

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Why you shouldn’t switch your energy provider right now.

ENERGY COMPANIES IN THE UK APPEAR TO BE GOING OUT OF BUSINESS ONE BY ONE THIS MONTH. Here’s what to do if your energy provider goes out of business – and why you shouldn’t switch right now.

The UK is experiencing an energy crisis due to an increase in wholesale gas prices, which has resulted in a carbon dioxide scarcity. Many energy companies have battled to survive the crisis and have gone into administration, including Utility Point, Bulb Energy, People’s Energy, and lately Orbit Energy and Entice Energy. This month alone, ten energy companies have gone bankrupt, leaving around 176,500 consumers unclear what to do next. So, what do you do if your energy business goes bankrupt? Here are some reasons why you shouldn’t switch providers.

Due to the price of wholesale gas soaring by more than 250 percent since the start of 2021, a large number of UK energy companies have gone bankrupt in recent months.

Energy companies who buy their own gas on the wholesale market have vowed to offer it to customers at a lower price than it costs them to buy it currently.

Bulb Energy, one of the largest UK energy providers to fail so far, has been allocated funding by the Treasury to allow it to continue operating while it seeks a solution.

Orbit Energy and Entice Energy will cease to trade, according to the Office of Gas and Electricity Markets, which announced it on Twitter today.

“Orbit Energy Limited is ceasing to trade,” according to a statement on the company’s website. The energy regulator, Ofgem, is in the process of picking a new provider for its consumers.

“Customers should not be concerned; their supplies are safe, and cash deposited into domestic customers’ accounts will be secured if they are in credit.”

Switching suppliers may seem like the best option, but this is not the advise given by Ofgem.

“Ofgem’s recommendation is not to switch, but to wait until they designate a new supplier for you,” Orbit continued.

“This will ease the process of transitioning consumers to a new supplier and honoring domestic customers’ credit balances as painless as possible for them.”

“The energy regulator, Ofgem, is appointing a new supplier for its consumers.” “No matter what firm you’re with, you should always follow Ofgem’s recommendations when the supplier moves.”

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