ScottishPower has announced plans to gradually stop selling energy to British businesses, following potential failure of a large Russian supplier.
The company, owned by Spanish energy company Iberdrola, said it would honour current contracts and there would be no impact on existing business customers, with no employee losing their job following the decision.
UK energy companies which supply power to businesses have largely been shielded from the collapse of power companies.
But the expected collapse of the British retail supply arm of Kremlin-backed Gazprom, following many of its customers leaving as Russia invaded Ukraine, has left its future uncertain.
Ofgem confirmed plans to give the company a UK Government lifeline if it collapses, while temporarily running the subsidiary.
A spokesperson for ScottishPower said: “The energy market is facing unprecedented challenges and we have taken the decision to exit the industrial and commercial market.”
A UK Government spokesman said: “We are aware that Gazprom Energy has a large presence in the non-domestic energy retail market.
“Gazprom’s retail business continues to trade in the UK and customers should exercise their own commercial judgement with regards to energy supply contracts.”
Centrica, the owner of British Gas, said earlier this month that it would exit its gas supply agreements with Russian partners, namely Gazprom.
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