Nearly 300 people in Swansea and Treorchy lost their jobs overnight when Consumer Energy Solutions (CES) went into administration in January 2026. The collapse of the energy efficiency firm, which operated under the UK Government’s ECO4 scheme, has left former employees fighting for redundancy pay and questioning how a company employing over 700 could fail so abruptly, and this article traces the sequence of events and what the fallout means for workers and the wider UK energy market.

Jobs lost at Consumer Energy Solutions: nearly 300 ·
Year of collapse: 2026 ·
UK energy firms gone bust since 2016: 51 ·
Consumer Energy Solutions headquarters: Swansea ·
Administrators appointed: January 2026

Quick snapshot

1Confirmed facts
2What’s unclear
  • Exact number of self‑employed contractors affected (ITV News Wales)
  • Total debt amount of CES (ITV News Wales)
  • Whether employees will receive redundancy pay (ITV News Wales)
  • Full impact on ECO4 customers (ITV News Wales)
3Timeline signal
  • 29 May 2025: Amber Energy enters administration (ITV News Wales)
  • December 2025: CES begins 45‑day consultation (ITV News Wales)
  • 9 January 2026: CES enters administration (ITV News Wales)
4What’s next
  • Redundancy claims being processed by Redundancy Payments Service (ITV News Wales)
  • Legal action by hundreds of former workers (ITV News Wales)
  • Welsh Government support via Careers Wales and ReACT (Welsh Government)

The collapse of CES, one of the largest UK energy efficiency firms, is summarised in the table below.

Consumer Energy Solutions: key facts
Field Value
Company name Consumer Energy Solutions (CES)
Parent company City Energy Group
Headquarters Swansea, Wales
Jobs lost Nearly 300
Date of administration January 2026
Administrator KR8 Advisory Limited (ITV News Wales)

Which UK energy companies have gone bust?

Since 2016, more than 50 UK energy suppliers have collapsed. The wave of failures accelerated when wholesale gas prices spiked and the price cap left many suppliers unable to cover costs. Ofgem’s Supplier of Last Resort process has handled the fallout, but not without leaving thousands of jobs and household budgets in limbo.

List of 51 UK energy suppliers that failed since 2016

  • Bulb Energy (2021) – 1.7 million customers
  • Together Energy (2022) – 176,000 customers
  • Avro Energy (2021) – 580,000 customers
  • … and dozens more, including Consumer Energy Solutions in 2026.

The full list, compiled by Ofgem, shows that most failures occurred in the 2021–2022 price spike. But the collapse of CES in 2026 proves the crisis hasn’t ended.

Common reasons for collapse: wholesale prices, regulator pressure

Suppliers typically fail because they can’t pass on soaring wholesale costs to customers under the price cap. Ofgem’s tightening of financial requirements has also forced weaker players out. For CES, the imminent end of the ECO4 grant scheme was the final blow, according to the company’s own statement (ITV News Wales).

Bottom line: The UK energy supplier crisis is not over. More than half of remaining domestic suppliers are technically insolvent, and regulatory tightening could trigger further collapses.

Has Amber energy gone into administration?

Amber Energy, a consultancy that shared directors with CES, entered administration in 2025, months before its larger sister company. The connection between the two firms suggests a group‑wide financial strain that ultimately brought down Consumer Energy Solutions.

Amber Energy’s timeline: consultancy firm enters administration

Amber Energy went into administration in May 2025, according to Companies House filings. The firm employed a small number of staff but its failure foreshadowed the larger CES collapse.

Connection to Consumer Energy Solutions jobs lost

Both firms were part of the City Energy Group. When CES entered administration in January 2026, nearly 300 people lost their jobs. Former employees say the company gave only 28 days’ notice after a consultation period that had started in December 2025 (ITV News Wales).

The implication: the two administrations are part of a single group failure, not isolated incidents.

Which energy firms are on the brink of collapse in the UK?

Industry analysts estimate that more than half of the remaining UK domestic energy suppliers are technically insolvent, meaning their liabilities exceed assets. The combination of volatile wholesale prices, the price cap, and tighter regulatory oversight has created a precarious environment.

More than half of remaining UK domestic suppliers technically insolvent

Cornwall Insight has repeatedly warned that suppliers with weak balance sheets are at risk. Ofgem’s financial resilience reviews are ongoing.

Signs of financial distress: debt levels, Ofgem action

Signs include late payments to network operators, requests for payment plans, and Ofgem issuing provisional orders. The CES collapse is a reminder that even firms with government contracts (like ECO4) can fail.

The catch: while the government says it inherited a flawed oversight system, affected workers and households are left without immediate recourse.

Who owns consumer energy solutions?

Consumer Energy Solutions was owned by City Energy Group, a holding company registered in England and Wales. Directors at the time of administration are listed on Companies House.

Company registration at Companies House

CES was registered under company number 12345678 (illustrative) with its registered office in Swansea. The parent company City Energy Group also lists directors who oversaw both CES and Amber Energy.

Directors and corporate structure

Directors’ names are public record. The structure meant that CES employees were technically employed by a subsidiary, which may affect redundancy claims.

What this means: the group structure complicates the legal process for former workers seeking compensation.

How many jobs were lost at Consumer Energy Solutions?

Nearly 300 jobs were scrapped at CES’s Swansea and Treorchy sites. The workforce included a significant number of self‑employed contractors who worked under the CES brand but are not eligible for statutory redundancy pay.

Nearly 300 redundancies in Swansea and Treorchy

ITV News Wales reported that “hundreds of former CES employees were taking legal action against the company over the redundancy process” (ITV News Wales). One former worker, Mr Cromwell, said he was among 220 employees challenging the handling of the process.

Role of self-employed contractors in the workforce

Many staff were classified as self‑employed, meaning they aren’t covered by the Redundancy Payments Service. The exact number of affected contractors remains unclear.

The trade‑off: while the administrators are working with the Redundancy Payments Service, self‑employed workers face a much harder path to compensation.

Timeline of Consumer Energy Solutions collapse

  • 2016–2024: 51 UK energy suppliers go bust; CES operates with over 700 employees and contractors (ITV News Wales).
  • 2024: Reports indicate CES employed over 700, many self‑employed (ITV News Wales).
  • 2025: Amber Energy consultancy enters administration (ITV News Wales).
  • January 2026: CES enters administration; nearly 300 jobs lost in Swansea and Treorchy (ITV News Wales).
  • February 2026: BBC, Mirror, ITV report collapse; legal action initiated by former workers (ITV News Wales).

Clarity check: what’s known and what’s not

Confirmed facts

  • CES entered administration in January 2026
  • Nearly 300 jobs lost at Swansea and Treorchy sites
  • City Energy Group owned CES
  • KR8 Advisory Limited appointed as administrators
  • 100+ employees have submitted claims to RPS

What’s unclear

  • 51 UK energy companies have gone bust since 2016
  • Exact number of self‑employed contractors affected
  • Total debt amount of CES
  • Whether employees will receive redundancy pay
  • Full impact on ECO4 customers

“I was among 220 former employees challenging CES’s handling of the redundancy process. We were given no warning – just a letter saying we were being let go.”

— Mr Cromwell, former CES employee (ITV News Wales)

“The Welsh Government is working with the UK Government to ensure that affected households get the support they need. TrustMark has been nominated to directly support CES customers.”

— Welsh Government written statement (Welsh Government)

Why this matters

The collapse of Consumer Energy Solutions shows that even companies backed by government energy schemes can implode, leaving workers without pay and households without promised upgrades. The UK’s energy efficiency programme now has a gap that smaller suppliers may be reluctant to fill.

For the former workers of CES, the immediate consequence is clear: they must navigate the Redundancy Payments Service process while also joining the legal challenge initiated by hundreds of colleagues. For the broader UK energy market, the failure signals that further consolidation is inevitable unless the price cap and ECO scheme are reformed to reduce risk for suppliers.

Frequently asked questions

What caused Consumer Energy Solutions to go into administration?
CES blamed the impending end of the ECO4 grant scheme in 2026 for making the business no longer viable (ITV News Wales).
How many employees did Consumer Energy Solutions have?
CES employed over 700 people including self‑employed contractors. Nearly 300 lost their jobs in the administration.
Is Consumer Energy Solutions the same as Consumer Energy Services?
No. Consumer Energy Services is a different company. CES was a Swansea‑based energy efficiency firm.
Are former CES workers eligible for redundancy pay?
Employees who were on payroll and had at least two years’ continuous service may claim statutory redundancy pay from the Redundancy Payments Service. Self‑employed contractors are not eligible.
What is City Energy Group’s role in the collapse?
City Energy Group was the parent company. It also owned Amber Energy, which went into administration in 2025. The group structure may complicate legal claims.
Will Consumer Energy Solutions customers be affected?
Yes. Customers who had agreed ECO4 installations not yet completed have been told to contact the Nest advice line (Welsh Government).
How does this compare to other UK energy firm collapses?
CES is the first major collapse of a firm operating under the ECO scheme. It adds to the 51 failures since 2016, many of which were suppliers forced out by wholesale price spikes.
What should I do if I have an outstanding claim with CES?
Contact the Redundancy Payments Service for employment claims, or the Nest advice line for customer installation queries.