While a natural gas crunch in Europe has transformed into a worldwide energy crisis, the UK energy market seems to be in turmoil seeing almost half of the energy suppliers leaving it this year.
New research by Cornwall Insight suggests from 47 domestic suppliers at the start of the year, today only 25 suppliers remain in the market.
The analysis finds that 2021 holds the record of the most supplier exits in one year.
These exits have left millions of customers behind, with the majority of them having already been moved to larger companies.
As a consequence, the large supplier group has increased the market share from 68.5% at the start of the year to the current 70.1%.
Anna Moss, Head of Consumer Markets at Cornwall Insight, said: ”Suppliers are likely to face tough times ahead. Credit calls on suppliers for electricity balancing are due to increase markedly.
“The Credit Assessment Price (CAP) will increase further to £259/MWh on 4th November, a record high and the tenth increase in the CAP in 2021.
“This is further compounded by high futures prices for the remainder of winter, consistently over £230/MWh for monthly baseload power and 240p/th for monthly NBP gas on 1st October.”