Energy company with an office in Wolverhampton faces losing licence over finances
An energy company which employs people in Wolverhampton could lose its licence if it fails to prove its financial stability, Ofgem has confirmed.
The energy regulator may also consider revoking Tomato Energy’s licence if it fails to provide evidence that it is managing its financial obligations in line with the rules.
The Baskingstoke based company, which has an office in Mander House in Wolverhampton, has already been banned from signing up new customers following investigations by Ofgem into its finances which saw the regulator publish a Provisional Order on April 11.
It's understood the ban will remain in place until the order is revoked and Ofgem has now confirmed it has given the business three months to comply with a ‘notice to rectify’ after a deadline set for August 31 for Tomato Energy to obtain and maintain “sufficient liquidity to meet its reasonably anticipated financial liabilities on an ongoing basis” passed.
A spokesperson for Ofgem said: “We will take robust action to protect consumers if we see evidence that energy companies may be failing to comply with our rules.
“We have implemented a sales ban, which means Tomato Energy cannot sign up new customers, and that ban remains in place until the company can evidence that it is managing its financial obligations in line with those rules.”
A notice on Tomato Energy’s website states: “We are temporarily not accepting new registrations or providing quotes for new customers. “Please check back later for updates.”
A spokesperson for Tomato Energy said of the situation: "The Ofgem Order is a Provisional Order that we are fully aware of and have over the last few months actively been working with and in conversations with Ofgem to alleviate their concerns. We have submitted various information to Ofgem and we were aware of their latest notice before its publication.
"We aim to continue to work with Ofgem to satisfy their concerns and address all outstanding issues, as we remain fully committed to support our customers and continue our business."
