Toto Energy stops trading – what you need to know
Toto Energy, a small energy supplier with about 134,000 domestic customers, has stopped trading, the regulator Ofgem has announced.
Update Monday 28 October: Ofgem has appointed EDF Energy to take on customers of Toto Energy. See EDF Energy's website for full information.
If you're a Toto Energy customer, don't worry – your energy supply will continue as normal and if you've got a credit balance this will be protected. Ofgem will now choose a new supplier to take on Toto Energy's customers, and this supplier will contact customers in due course.
Toto Energy was dogged by controversy while it was operating. Last year we reported that scores of customers had complained about its "hopeless service", with reports of delays to credit balance refunds and long waits to speak to customer services. And earlier this year we reported that it had been hit with a warning from review site Trustpilot after a manager at the energy firm appeared to ask other staff to leave five-star reviews there to woo potential customers.
When fellow energy firm Solarplicity went bust this summer, 43,000 of its customers were moved over to Toto Energy. However, it later emerged that hundreds of ex-Solarplicity customers, who'd already switched away from the firm, were wrongly moved to Toto Energy too.
For full help on how to cut the cost of your energy bills, see our Cheap Gas & Electricity guide.
I'm a Toto Energy customer – what should I do now?
Ofgem has given full guidance to Toto Energy customers, saying that under its 'safety net' rules it will choose a new supplier for them and that their supplies will continue. But its immediate advice is:
- Don't switch to another energy supplier until a new one has been appointed and you have been contacted by it. This will happen in the next few weeks. (When you are ready to look for a new supplier, use our free Cheap Energy Club to do a full comparison.)
- Take a meter reading now, ready for when your new supplier contacts you.
Ofgem says when customers are moved to a new supplier they will be placed on a new 'deemed' tariff – ie, one chosen by the new supplier – so if you have a fixed tariff with Toto Energy that will end sooner than expected. But you will be free to switch to another firm without paying any exit fees as soon as you've been transferred.
What should I do with my direct debit?
If you pay for your energy by direct debit, don't cancel your future payments. Your regular payment amount will remain the same for the time being, and will continue to be taken as normal.
If you pay on receipt of a bill, continue to pay via the same method.
I'm in the middle of a switch – what happens to me?
If you're currently in the process of switching away from Toto Energy, that process will continue – you don't need to do anything.
If you are switching to Toto Energy, it will also continue but you will end up being switched to whichever supplier takes over Toto Energy's customers.
What does Ofgem say?
Philippa Pickford, Ofgem's director for future retail markets, said: "Toto Energy customers do not need to worry, as under our 'safety net' we'll make sure your energy supplies are secure and customers' credit balances are protected.
"Ofgem will now choose a new supplier for you and whilst we're doing this our advice is to sit tight and don't switch. You can rely on your energy supply as normal. We will update you when we have chosen a new supplier, who will then get in touch about your new tariff."