Regulator Ofgem announced today that the London-based company, which promised to use its artificial intelligence platform to supply customers with green energy at low prices, has ceased trading.
Customers must now wait for Ofgem to choose a new supplier for their homes, with a spokeswoman for the regulator telling The Sun that this will happen within the next two weeks at the latest, but could happen within the next four to five days too.
But under its safety net scheme, no customers will be left without energy and Ofgem is urging customers to not panic and try switching themselves.
Any outstanding credit balances will also be protected, with Ofgem advising customers to take a meter reading and wait for the new supplier to contact them.
Once they've been contacted, customers should ask to be put on the cheapest deal or they can shop around for a cheaper deal instead.
Customers won't be charged exit fees for switching away from their new supplier, Ofgem said.
Mark Starks, Ofgem's executive director for consumers and markets said: “If you are a Usio Energy customer there is no need to worry as we will make sure your energy supplies are secure and your credit balance is protected.
“Ofgem is working to choose a new supplier as quickly as possible for you. Whilst we’re doing this our advice is to ‘sit tight’ and don’t switch.
"Your energy supply will not be affected and will continue as normal – the thing that will change is that your energy will come from a new supplier.”
Customers who have questions should visit Ofgem's website at www.ofgem.gov.uk/ofgem-safety-net.
Or if they need additional support, call Citizens Advice on 03454 04 05 06 or email them via their webform.
Is it safe to switch to a small energy provider?
Research from Which? has found customers with smaller and medium sized firms like Utility Warehouse, Flow Energy and Octopus Energy are much happier than those with the major firms – and could save a whopping £333 a year by switching.
The biggest risk of choosing a small provider – like Future Energy – is that it goes bust.
But remember that if the firm does go under you won't be cut off, and Ofgem will try and get a new supplier in place as quickly as it can.
Once it has done this, the new firm will contact you – it doesn't have to honour the deal you were on with defunct firm – but under Ofgem rules any credit you have on your account is protected.
If you're unhappy with the new supplier's offer you are free to shop around for a new deal and switch – you won't have to pay any exit fees to leave.
Usio Energy is not the first small energy firm to go bust – earlier this summer Iresa did the same, affecting 100,000 customers.
In the beginning of this year, Future Energy also collapsed, affecting more than 10,000 customers.
Back in 2016, small energy firm GP Energy also went bust, leaving around 160,000 customers in limbo.
Then Co-operate Energy was picked to take on GB Energy Supply – around three days after it had gone out of business.
We pay for your stories! Do you have a story for The Sun Online Money team? Email us at [email protected] or call 0207 78 24516. Don't forget to join the Sun Money's Facebook group for the latest bargains and money-saving advice.
Source: Read Full Article