One Select

One Select (One Select Energy Limited) was a UK energy supplier that ceased trading in 2018.

What happened?

• One Select, a UK energy supplier, ceased trading on 10 December 2018.
• At the time of closure it served approximately 36,000 domestic customers.
• The regulator, Ofgem, stepped in under its “supplier of last resort” (SoLR) regime to protect customers and credit balances.
• Companies House records show the company entered administration on 17 December 2018 and then a creditors’ voluntary liquidation commenced on 18 December 2019.

Key numbers and metrics

• ~36,000 customers impacted.
• Company incorporation date: 22 July 2016.
• Insolvency timeline: administration began December 2018, liquidation December 2019.
• Nature of business: supply of electricity/gas (SIC codes 35120 / 35130) according to Companies House.

Why it matters for UK businesses

• The collapse highlights the risks faced by smaller energy suppliers in the UK retail market – particularly those unable to absorb wholesale price rises, regulatory costs or margin squeezes.
• From a corporate buyer or partner perspective, businesses dealing with energy-suppliers need to assess the financial resilience of smaller providers, especially when the market is volatile.
• For companies that engage energy suppliers (for utilities or supply chain), it’s a reminder of the supplier-risk dimension: if a supplier fails, there may be transitional issues, renegotiation or service disruption (though in this case domestic supply continuity was protected).
• The regulatory safety-net (Ofgem’s SoLR mechanism) ensures consumer supply is protected, but business customers may face more complexity in the event of a supplier failure; hence contract terms, credit balances, and continuity plans should be reviewed.
• The event adds to the broader context of multiple UK supplier failures over recent years — meaning that for businesses picking or switching suppliers it’s prudent to check firm size, capital adequacy, contract terms and whether the supplier has a credible hedging/wholesale risk strategy.

Lessons and take-aways

• Due diligence matters: If selecting a smaller energy supplier (for gas/electricity) be wary of financial fragility or aggressive growth strategies without backing.
• Contract design: Ensure that supplier contracts for energy have clauses covering insolvency or exit-scenarios (and understand what happens if supply is transferred).
• Status of credit balances: For domestic customers of One Select the credit balances were protected under the SoLR process. For a business audience, check whether business supply agreements provide similar protections.
• Switching caution: At the time of collapse, customers were told not to switch supplier until they were transferred to the new supplier. Businesses should likewise ensure continuity rather than switching in panic.
• Regulatory regime awareness: Ofgem monitors supplier financial resilience, but smaller firms still represent a risk. Businesses may benefit from keeping an eye on regulatory statements, supplier ratings or market alerts.
• Market volatility preparedness: When wholesale energy prices rise rapidly (as has happened in recent years), smaller suppliers are most vulnerable. Contracting parties should evaluate how supplier cost pressures might impact their supply or pricing.

Summary

The failure of One Select is a case study in the vulnerability of smaller UK energy suppliers and offers several strategic lessons for businesses engaged in energy contracting or supply-chain arrangements. While domestic customer protections are strong under the UK regime, business customers must proactively manage supplier risk, contractual safeguards and continuity planning.