Toto Energy goes pop - 134,000 customers up in the air
Yet another energy firm has gone bust.
How long is it before energy companies are put on the endangered species list? It seems like every week one ceases trading.
In this case, Toto Energy, which had around 134,000 domestic customers, is the latest victim.
Under Ofgem’s safety net, customers will continue to receive energy - while prepayment meters will continue to operate as normal, according to The Mirror.
The outstanding credit balances of customers will also be protected.
Ofgem will now choose a new supplier to take on all customers - with households advised to continue as normal in the interim.
The energy regulator said customers should refrain from switching to another energy supplier until a new one has been appointed - Ofgem will notify you of this in writing in the coming weeks.
However, you should take a meter reading ready in preparation for when your new supplier contacts you.
This will make the process of transferring over to a new supplier, and paying back any outstanding credit balances, "as smooth as possible," Ofgem said.
Once a replacement company has been announced, customers will be able to shop around for a better deal from another supplier. If you choose to move, you won’t be charged an exit fee for taking your custom elsewhere.
Philippa Pickford, at Ofgem, said: "Toto Energy customers do not need to worry, as under our safety net we’ll make sure your energy supplies are secure and customers’ credit balances are protected.
"Ofgem will now choose a new supplier for you and whilst we’re doing this our advice is to ‘sit tight’ and don’t switch. You can rely on your energy supply as normal. We will update you when we have chosen a new supplier, who will then get in touch about your new tariff."
Toto is the eighth energy supplier to go bust this year, hot on the heels of Ofgem’s announcement to toughen up the rules for existing providers, to minimise the risk of any more of them going bust.
This would include new checks for growing suppliers to make sure they can effectively serve their customers. If they fail the checks, they would be stopped from taking new customers on.
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