Robin Hood Energy (RHE) is shutting up shop with the loss of 230 jobs. This is despite the millions of pounds pumped into the venue by Nottingham City Council.
British Gas owner Centrica is taking over the customer base of thousands of homes (112,000) and businesses (2,600).
It has been suggested that the council has lost up to £38 million on the venture. The true lost will become clearer when the transfer of customers to British Gas is done.
RHE was set up in 2015 with the idea of help tackle fuel poverty, with the additional claim of being the first council-run energy company in the UK.
Auditor Grant Thornton explained that RHE had lost money every year of existence, was struggling to find new customers, and had become dependent on council monies. British Gas has said it is buying the customer base, but not the rest of the company.
Following the launch of Robin Hood Energy, Bristol City Council launched its own venture. Bristol Energy went up for sale in June, after the council invested some £35m into the company.
