Collapse: Bulb was put into the UK’s ‘special administration regime’ when it collapsed in November
The Treasury has set aside a further £1billion of taxpayer cash to keep collapsed energy firm Bulb afloat.
Bulb, which has 1.6million customers, was put into the UK’s ‘special administration regime’ when it collapsed in November as it was deemed too big for any rival to take on.
Treasury documents show this will cost another £1billion in 2022-23 on top of the £1.2billion already spent. The bailout means taxpayer cash is being used to prop up the firm until a new long-term solution can be found.
Bulb’s temporary nationalisation has paved the way for it to keep trading despite its collapse.
A Government spokesperson said: ‘The special administration regime for Bulb was the only viable option to ensure 1.6million customers received continued supply of energy.’
The Spring Statement coincided with an announcement from Ofgem which said there could be a potential £2.4billion fallout from the collapse of energy firms.
This does not include the cost of Bulb’s failure.
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