Electricity retailer Tomato Energy today announced it has gone bust after many months of failing to get its spiralling debts under control.
Today’s news comes just over a year after TE, which was headquartered in Basingstoke and had offices in Wolverhampton, launched its services to the public.
Ofgem finding new supplier for TE customers
Farouk Alhassan, CEO and co-founder of TE, said: “We are really sad to announce that Tomato Energy is ceasing to trade.
“After months of pushing and persevering to find investors, we have been unsuccessful and as a result we have made the decision to cease trading.”
TE said on its website that Ofgem, the energy regulator, “is appointing a new supplier for our customers,” adding: “Customers do not need to worry.”
TE had about 15,000 domestic customers and around 8,000 business accounts.
Last month, Ofgem imposed a £1.5m fine on TE for failing to pay down its £3m debts.
In April, Ofgem issued an order to TE banning it from taking on new customers and warning it to comply with industry liquidity thresholds amid increasing concerns from debtors.
TE was founded in 2015 but officially launched its services in October 2024.
‘Proud to have tried’
Announcing that the company had ceased trading on LinkedIn today, Alhassan added: “It has been the most wonderful of experiences and we are extremely proud of what we achieved.
“Ultimately, it is all about how much capital you have to support you in this market, and on that front, we have struggled a lot.
“We had our ups and downs but it doesn’t take away from the fact that we did try and we are proud of that.”
