This guide will answer some of your questions.

Will my supply be cut off?

No. We’ll move you to a new supplier. Your energy supply won’t be cut off or even disrupted. In fact, you won’t notice any change.

Our advice is to take a meter reading and not to do anything until we have appointed a new supplier and they have been in touch with you.

Who will choose my new supplier?

Ofgem chooses the new supplier.

Will I be on a different contract with my new supplier?

Yes. Your old tariff will end.

Instead, your new supplier will put you onto a special ‘deemed’ contract (this means a contract you haven’t chosen) with your new supplier. This contract will last for as long as you want it to.

Will my bills go up?

It’s likely, as ‘deemed’ contracts are usually more expensive.

Our advice is not to switch immediately, but wait until your new supplier has got in touch with you. They will be able to tell you what to do about any credit balances you might have had with your old supplier.

Once you have been contacted by your new supplier you should ask them to put you on their cheapest deal or shop around for a cheaper supplier. You won’t be charged exit fees.

For clear advice on how to do this visit Ofgem’s energy guide at Be An Energy Shopper (opens another website).

Why does my new ‘deemed’ contract cost more?

We try to get the best possible deal for you, if you’re in this situation.

However ‘deemed’ contracts are usually more expensive. The supplier takes on more risk, as customers are moved to a new supplier quickly without the usual background credit checks. So, they also charge more, to make up for this extra risk.

I’m in credit to my supplier. Will I get this money back?

Your new supplier will contact you to explain how this will work. The new supplier may for example automatically credit money to your new account with them.

What about businesses?

Ofgem’s safety net protects all customers’ energy supplies, and all customers will be transferred to a new supplier. Business customers’ credit balances are not protected under the safety net. Business customers should contact the company administrating the insolvency to ask them what to do about their credit balances.

I’m paying back debt to my supplier. Will I still pay this to my new supplier?

You will not need to pay back debt to your new supplier. However, you may have to continue to pay this back to your old supplier.

You can read more about our powers to protect consumers when suppliers go out of business in our guidance: Supplier of Last Resort process.

Further help and advice

If your question isn’t answered here and you have concerns about your energy supply, problems or complaints, you should contact the Citizens Advice consumer helpline in the first instance for guidance and support.