Tipping point looms for energy industry as crisis looks almost certain to claim more suppliers

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'At what stage will there be a tipping point?This is likely to be the question currently occupying much of the energy industry and government alike,' writes HelenAnnSmith0

Add that to the customers of other firms that have gone under this month, and we're already looking at in excess of a million people being taken on by suppliers like British Gas.Kwasi Kwarteng, the business secretary, insisted in front of the business, energy and industrial strategy committee this morning that these systems are"robust", but acknowledged they would be"tested" in the coming months.

Mr Kwarteng has also staked his claim to be firmly on the side of consumers in this crisis - and needs to be seen to be putting their interests first.Energy boss: It's 'crunch time' for many small providers In that case there are options: a"bad bank", or government-backed loans to energy firms to name just a few.

The reality is that even if the government does intervene, millions of consumers will face higher bills as the winter sets in - not just those whose suppliers collapse, but also those on standard variable tariffs and those coming to the end of fixed term contracts.

 

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