We received the following communication from Utilita today:
Utilita has today made the incredibly difficult decision to temporarily cease taking on any new customers or void properties.
There are many factors, but primarily this is down to two: the unprecedented worldwide energy crisis – with gas prices alone going up 12% in one day, [fortunately there has been a sharp price drop today 17th Sep 21!ed.] and rising – and the stifling effect of Ofgem’s price cap.
The reality is any new customers we take on will lose us money – and we cannot let that happen. We must protect our staff, customers and our business.
We will not be alone.
This is a perfect storm – all out of our hands – of unprecedented price hikes, demand elsewhere and, significantly, unwelcome interference from the regulator, coupled with inertia from the Government.
Ofgem’s price cap has already contributed to nearly 40 suppliers either collapsing or deciding to exit the market since 2017.
Prior to 2017, only one supplier collapsed. [In how long? ed.] That tells its own story.
The unintended consequences of a policy, supposedly designed to protect the consumer, is doing no such thing.
Instead, it has contributed to greater uncertainty amongst both suppliers and consumers, sudden and steep price rises, and a reduction of genuine competition. [Perhaps if some suppliers would not have ripped off standard-tariff customers, a price-cap would not been necessary…ed.]
As we said, this is a temporary measure – and one we are hugely frustrated by – but we cannot give any timeframe as to when we can take on new customers.
Please rest assured our service to our existing customers will remain unaffected. That will remain our priority.