Administrators have been appointed to gas and electricity supplier People’s Energy after it collapsed in the wake of soaring wholesale gas prices, with redundancies ‘likely’, officials said on Monday.
Industry regulator Ofgem has transferred the 360,000 customers of People’s Energy to Centrica unit British Gas, under “supplier of last resort” rules.
Administrators Alvarez & Marsal Europe said there were “likely to be some redundancies among the Scotland-based firm’s 460 employees.
Some staff would be retained in the short term to help with the transfer of customers to British Gas, raising of final bills, the credit control process and help the administrators with their statutory duties.
“Unfortunately People’s Energy, a company founded on strong ethical principles, has fallen victim to the very challenging conditions being experienced by UK energy retailers,” said Paul Berkovi, joint administrator.
“In the coming days we will be focusing on working with affected employees and discussing transitional arrangements with the appointed supplier for People’s Energy customers, British Gas.”
