Kwasi Kwarteng’s words in the House of Commons last week that more suppliers are expected to exit the market come true today as three more energy firms ceased to trade.
Symbio Energy, Igloo Energy and ENSTROGA have gone bust.
Igloo Energy supplies gas and electricity to 179,000 customers, Symbio Energy serves around 48,000 customers while ENSTROGA is a supplier for an estimated 6,000 customers.
Together the suppliers represent less than 1% of domestic customers in the market, Ofgem said.
Under the regulator’s safety net, the energy supply of the failed suppliers’ customers will continue and funds that domestic customers have paid into their accounts will be protected.
Customers will be contacted by their new supplier, which will be chosen by Ofgem.
In recent weeks there has been an unprecedented increase in global gas prices which has led many energy suppliers to go under as a result of the financial pressure.
Neil Lawrence, Director of Retail at Ofgem, said: “I want to reassure customers of ENSTROGA, Igloo Energy and Symbio Energy that they do not need to worry.
“Under our safety net, we will make your energy supplies continue. Ofgem will choose a new supplier for you and while we are doing this our advice is to wait until we appoint a new supplier and do not switch in the meantime.”