The energy giant Npower has lost more than 650,000 customers, over fierce competition and has seen losses soar.
Accounts filed by Germany’s Innogy, npower parent company shows huge losses which have grown from, £7.7m to £61.8m in 2018.
The Big Six energy giant booked higher costs related to smart meters being rolled out across the UK.
Innogy took a £1.3bn write down as they failed to merger with their rival, SSE in 2018.
The write down to npower made Innogy to slash their dividend to £1.20 per share from £1.37. The energy price cap and higher regulatory costs will hit UK profits.
Npower had a workforce of 6,050 people in 2018, the company are planning to cut 900 jobs throughout 2019 and talks started last month with Unions and staff.
The energy sector has been hit hard since the new price cap was introduced by Ofgem, this week Brilliant Energy was yet another energy company to go bust. Brexit uncertainty is also hiting the future of gas supplies to the UK.
The UK are relying on a mix of domestic and imported gas to meet a large part of its energy demands, the UK’s energy landscape is one area sparking much discussion as part of EU negotiations.
There is a long list of small providers that have gone bust recently, including Our Power, Economy Energy, Spark Energy, Extra Energy, Future Energy, National Gas and Power, Iresa Energy, Gen4U, One Select and Usio Energy.
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