Is the Together Energy acquisition of Bristol Energy bad for customers?
One of the UK’s most ethically aware energy firms, Together Energy, has acquired Bristol Energy’s residential customer base, ensuring a continued service for customers and securing the jobs of 110 frontline workers.
The sale to Together Energy for £14m will see the company acquiring 155,000 residential meter points plus the Bristol Energy brand and systems.
Bristol City Council, which founded Bristol Energy in 2015, announced earlier this year it would be selling the company, completing the sale of the business customer base last month.
Together Energy prides itself on its social impact employing more than 90% of its staff from Scotland’s most deprived areas. During negotiations, Together Energy committed to guaranteeing the jobs of 110 frontline workers who will now TUPE into the company and remain in Bristol.
The companies also both strive to provide renewable and sustainable energy to customers with Together Energy supplying 100% renewable electricity to all its customers.
Paul Richards, CEO of Together Energy said:
“There are great synergies between both companies and the acquisition is a natural fit to our growth strategy. We are an employer with strong social ethics and in the current climate are delighted to have secured so many jobs.
“We are delighted to welcome Bristol Energy’s customers into the Together family and want to assure them that nothing is changing - tariffs, terms and conditions and how you contact Bristol Energy will all remain consistent. We also recognise the value of the brand and plan to retain it.”
Cllr Craig Cheney, Deputy Mayor and Bristol City Council Cabinet Member for Finance, Governance and Performance said:
“Throughout this process it has been really important that we find a buyer who will not only offer a good deal for Bristol but also shares similar values. We are therefore delighted that Bristol Energy has been acquired by Together Energy which has proved committed to do the very best for its staff, customers and the environment.”
Together recently signed a new trading agreement with Orsted, who were recently voted the most sustainable company in the world. Together Energy’s Trading Director Josh Montgomery added:
“It has all fallen together just in time, without Orsted’s support and commitment to green gas and power we would have struggled to complete the deal with Bristol in the timeframes. Our Orsted partnership gives our entire customer base confidence that we are sourcing the most sustainable energy to meet household needs.”
The combined purchase of the residential customer book, the Bristol Energy brand and systems means continuous service and a seamless transition for all Bristol Energy residential customers once the sale is complete.
Bristol City Council also thanked the Bristol-based EY corporate finance team for delivering this complicated transaction.
The deal has been criticised, however, by energy switching specialists Flipper, who say it will be bad for customers. Flipper, which itself is based near Bristol, has refused to switch anyone to Together Energy since early 2019 because of the supplier’s poor customer service record.
Mark Gutteridge, CEO of Flipper said: “More than half of the customer reviews for Together Energy on Trustpilot rate them as ‘bad’, the lowest score possible. So it is incredible that the city council says they are pleased with the deal and that the new supplier “shares similar values” with them.
“While the deal will save 110 jobs and put some money into the coffers of Bristol city council, customers should expect a big drop in the quality of service”.
“As well as the poor rating on Trust Pilot, Together Energy are ranked last out of the 35 energy companies reviewed by Which? and 35th out of 41 energy companies looked at by the Citizen’s Advice Bureau.
“Flipper stopped switching customers to Together Energy in early 2019 after experiencing major issues when customers of One Select Energy who were transferred to them under Ofgem’s Supplier of Last Resort (SoLR) process. The problems were so bad and took so long to resolve we have never recommended them to any of our members since.”
Mr Gutteridge concluded: “My advice to Bristol Energy customers is they should start looking for a new deal with a supplier offering great customer service ASAP. Now is a great time to be switching with some of the most competitive deals available offering 100% green energy.”
