It’s hard to have missed the number of stories in the media recently about smaller energy firms going bust. One of the reasons why these firms have struggled recently is due to the sharp increases that we have seen in the costs of gas and electricity in the past year. The cost of electricity is 35% higher now than it was just last March, while the cost of gas is 32% higher.
Larger suppliers, like us, are able to buy the energy we supply a long time in advance, this is known as hedging. It means we can plan for rising costs. In turn, this protects customers like you from most of the fluctuations and means we only increase our prices when we cannot avoid it.
However, these cost increases, together with the impact of dealing with regulatory changes and preparing for the potential effects of Brexit, have meant that we (and all other major suppliers) have had to increase prices in the past year.
Smaller firms that can’t afford to buy their energy in advance haven’t been able to manage these costs though, leading some firms to miss their deadlines for paying environmental taxes, while others have had to cease trading altogether.
At Co-op Energy, we manage our business to offer the best for you, our customers. We provide long-term, sustainable prices and contribute towards the future of renewable energy in the UK. This is part of our commitment to fairness for everyone. This is part of our Co-op difference.