Small energy supplier One Select has ceased to trade, Ofgem has announced today (10 December).
The Reading-based supplier, which has around 36,000 domestic customers, recently came bottom of Citizens Advice’s star rating list for customer service.
The industry regulator said it will choose a new supplier to take on One Select’s customers.
Philippa Pickford, Ofgem’s interim director for future retail markets, said: “Our message to energy customers with One Select is there is no need to worry, as under our safety net we will make sure your energy supplies are secure and your credit balance is protected.
“Ofgem will now choose a new supplier for you, ensure you get the best deal possible. 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.
“We have seen a number of supplier failures this year and our safety net procedures are working as they should to protect customers.”
In response to the news the Energy Ombudsman said it had been aware of “customer service issues” at One Select for some time, and had attempted to work with the company to try to improve its complaint-handling process.
David Pilling, head of policy at the Energy Ombudsman, said: “As we have done following the recent collapse of other suppliers such as Iresa and Extra Energy, we are keen to work with whoever is appointed to take on One Select’s customers in order to ensure a smooth transition.
“If you’re a consumer who has a complaint about One Select open with us, please be advised that we will be in touch in due course with information on next steps.”
In October the Dutch sister company of One Select had its energy licence revoked by The Netherlands Authority for Consumers and Markets (ACM).
The Dutch ACM announced on 15 October it had established that the supplier was no longer able to “comply with the requirements of its energy licence”.
Today’s announcement means One Select is the eighth company to cease trading so far this year.