Government ministers and officials believe that energy company Bulb are on the verge of collapse, according to Sky News.
The firm supplies energy to 1.7 million people in the UK and is Britain's seventh-biggest domestic energy supplier.
Reports suggest that Bulb could collapse as soon as next week after it was looking for a cash injection from investors in September.
The company is yet to confirm the news but industry experts speaking to Sky News said that some recent investors has pulled out in recent days.
While new funding is not totally off the table, it is unlikely that the energy company will last through November if it cannot secure investment soon.
A Bulb spokesperson told Sky: "Our discussions with multiple parties to secure additional funding continue to make good progress and we're encouraged by the drop in wholesale energy prices.
"We expect the government to monitor wholesale prices and their effect on the whole industry, but ministers and Ofgem have been clear we must emerge from the energy crisis with a competitive and innovative market, rather than a return to the oligopoly of the past."
The collapse of Bulb would put around 1,000 people at risk of unemployment.
Which companies have already gone bust?
These companies have already gone into administration this year:
- GOTO Energy Limited (18 October)
- Daligas Limited (14 October)
- Pure Planet (13 October)
- Colorado Energy (13 October)
- Igloo Energy (29 September)
- Symbio Energy (29 September)
- Enstroga (29 September)
- Avro Energy (22 September)
- Green Supplier Limited (22 September)
- Utility Point (14 September)
- People’s Energy (14 September)
- PFP Energy (7 September)
- MoneyPlus Energy (7 September)
- HUB Energy (9 August)
What do I do if my supplier goes bust?
Regulator Ofgem will automatically switch over your company if your current supplier goes into administration and your supply will continue uninterrupted.
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