Tomato Energy Collapses, Leaving 23,700 UK Customers Under Ofgem Protection

UK Energy Supplier Tomato Energy Ceases Trading

Tomato Energy, a UK gas and electricity firm based in Basingstoke, has officially ceased trading as of November 5, 2025. The collapse affects a total of approximately 23,700 customers, comprising 15,300 domestic households and 8,400 non-domestic businesses. The industry watchdog, Ofgem, has swiftly intervened to safeguard energy supply and protect affected consumers.

Financial Woes Led to Collapse

The company's demise follows a period of significant financial distress and regulatory scrutiny. Tomato Energy had accumulated debts exceeding £12 million, with other reports indicating debts over £3 million. In April 2025, Ofgem issued a provisional order banning the supplier from acquiring new customers due to its mounting debts and concerns over its ability to maintain liquidity. Further regulatory action saw Ofgem propose a £1.5 million fine against Tomato Energy for failing to meet financial resilience rules and for incorrectly charging customers. The firm was also found to have 'exposed customers to an increased risk of harm' through improper charging, delayed information provision, and insufficient regulatory compliance procedures. In October 2025, Tomato Energy filed a notice of intention to appoint administrators, signaling its impending collapse.

Ofgem's 'Supplier of Last Resort' Mechanism Activated

In response to the collapse, Ofgem has activated its Supplier of Last Resort (SoLR) mechanism. This safety net ensures that there will be no disruption to the energy supply for Tomato Energy's customers. Rohan Churm, Director for Financial Resilience and Control at Ofgem, reassured customers, stating: 'I want to reassure Tomato Energy customers that they do not need to worry. They will not see any disruption to their energy supply, and any credit domestic customers have on their accounts remains protected under Ofgem's rules.'

Ofgem is currently working to appoint a new energy supplier for all affected customers. Domestic customers will also continue to be protected by the energy price cap once they are switched to the new provider.

Advice for Affected Customers

Customers of Tomato Energy are advised to take the following steps:

• Do not switch suppliers in the interim; wait to be contacted by the new supplier appointed by Ofgem.
• Take a meter reading as soon as possible. This will help ensure accurate billing during the transition to the new supplier.
• Any credit balances held by domestic customers are protected and will be transferred to their new account.

Once the new supplier has been appointed and has made contact, customers will have the option to inquire about the cheapest available tariff or to seek an alternative deal from another supplier without incurring exit fees. Ofgem has emphasized that it has strengthened rules in recent years to improve the financial resilience of suppliers, aiming to minimize the impact of such failures on consumers.