Commenting on the current situation in the energy sector, Energy UK's chief executive, Emma Pinchbeck said:
“The energy sector is facing challenges due to an unprecedented combination of circumstances. However, we’re also very aware that this situation will be causing concern to customers.
“We would like to reassure customers that that the supply of energy to their homes will not be affected. And the Government is confident that there are sufficient resources to meet energy demand over the coming months. If we see more retailers exit the market, the existing protections will remain in place to ensure there is no interruption to gas or electricity supply.
“It’s also worth stressing that the price cap has already been set for the winter. So while the price of other fixed term deals is being affected by the current situation – the price cap, which comes into effect next week, has not been altered by the most recent wholesale price rises. It is due to be reviewed again in time for April 2022.
“We are currently in discussions with the Government and Ofgem on what measures can be taken to manage the situation and these continuing talks will include domestic suppliers of all sizes. There are no easy solutions - but the priority of all involved is to protect customers as much as possible, and whether there needs to be additional support provided to them on top of existing mechanisms, while also trying to minimise further disruption to the retail market.
“We do realise it is going to be a challenging winter for many customers nevertheless. So we’d repeat that support is available for customers from their energy supplier and they should get in touch if they are worried about their bills. Energy suppliers have already provided hundreds of millions of pounds in financial assistance since the start of the pandemic. The industry will continue that support this winter.
“And while the immediate focus is on the current situation, it shows why we must continue the low-carbon transition and further reduce our dependency on fossil fuels to remove the risk of being exposed to volatile international wholesale prices in future. It also underlines the need to make our homes more energy efficient, which can permanently cut bills by hundreds of pounds a year.”