Robin Hood Energy: Staff lose jobs as customers sold to British Gas

09/09/2020 11:25
Sept-Robin Hood Energy - Staff lose jobs as customers sold to British Gas.jpg

Staff at a council-run energy company are losing their jobs as the firm's customer base is being sold to British Gas.

A total of 230 people will be made redundant after the collapse of Robin Hood Energy (RHE), run by Nottingham City Council.

The GMB union said it was an "inexcusable example of how not to treat loyal" workers.

The council said the sale "was the right option".

Once customers have moved to British Gas, plans to close down RHE will be enacted, the authority added.

British Gas said the transaction was expected to be complete on 16 September with customers moving to the firm over the next few months.

The council set up RHE in 2015 to try to provide cheaper energy, but the company made losses every year.

By March 2019, the company had lost £34.4m despite large loans from the authority, external auditors Grant Thornton said.

A recent report criticised the authority for how it handled the company after it had invested £43m of public cash and provided £16.5m of guarantees.

Sarah Worth, from the union, said the news was "devastating for workers" and called RHE a "badly run, local authority controlled company".

Read the full story here.

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