Shell says it intends to sell its household energy business "in the coming months". The oil and gas firm previously said it wanted to leave the troubled industry and has now given an update.
Shell Energy was launched in 2008 as First Utility, but bought by the oil major a decade later. It employs around 2,000 people in the UK and supplies energy to around 1.4 million homes, while around half a million households get their broadband from the company.
The business has already been put up for sale. Ovo and Octopus Energy have reportedly launched bids for the unit according to the PA news agency.
Shell said it had been conducting a review for the past five months. "As we stated at the end of January 2023, we have been conducting a strategic review of our home energy retail businesses in the UK, the Netherlands and Germany," it said.
"That review has now concluded and as a consequence, we intend to exit those businesses. A sales process is already under way, with the intent to reach an agreement with a potential buyer in the coming months. Deal completion would be subject to the usual regulatory and other approvals."
Shell said nothing will change for its customers during the sales process. "We are committed to supporting both customers and staff and protecting customer interests during this period, and to ensuring a seamless transfer to a buyer capable of delivering on its obligations, including our intent to maximise employment," it said.
"Neither our B2B wholesale and SME customer supply businesses under the Shell Energy brand, or our home energy retail businesses outside Europe, are in scope of this potential divestment."
