Shell has said it will start a “strategic review” of its home energy retail businesses in Britain, the Netherlands and Germany.
The energy giant has acknowledged that current market conditions are “tough”.
Soaring wholesale energy prices and governments’ efforts to shield customers from rising bills have put more pressure on energy suppliers.
Shell said: “We have informed relevant staff of the start of a strategic review of our home energy retail businesses in the UK, the Netherlands and Germany. The review is in line with our Powering Progress strategy, which includes continually exploring options to maximise the value of our portfolio and address performance in tough market conditions.
“No decisions have yet been taken on the way forward and our priority remains to ensure our customers in those countries continue to receive a reliable and affordable energy supply and to provide support for customers who are struggling with the cost of energy and wider cost of living pressures.”
Shell injected $1.5 billion (£1.2bn) in cash and credit into its British energy retail arm in 2022 – Shell Energy has currently 1.4 million domestic energy customers in the UK.
Shell Energy’s loss rose to £102.4 million in 2021 from £83.6 million a year earlier.
Shell continued: “We remain committed to our integrated business model that produces, buys, trades, transports and sells energy around the world. Our wholesale and B2B energy supply businesses are out of scope for this strategic review, as are our home energy supply businesses in the US and Australia.
“We intend to provide an update on the outcome of the review, which is likely to take a number of months in due course.”
