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People’s Energy bosses under fire for £50m profits

The boss of Centrica has slammed the reported £50m payout that could allegedly be given to founders of failed supplier People's Energy

The creators of People’s Energy, an energy supplier that collapsed in 2021, have received fierce criticism from the boss of Centrica.

In September 2021, British Gas took on customers of the failed supplier, People’s Energy.

Last year, an investigation found that under the current insolvency rules of the UK energy market, David Pike and Karin Sode, the duo behind People’s Energy, might receive a £50 million payout after company creditors were satisfied.

This follows reports claiming that the business held contracts worth more than £200 million – the couple has already pledged to offer 75% of this sum to charity.

The Mail On Sunday cited Chris O’Shea, Chief Executive Officer of the British Gas owner, saying: “We would have been willing to work with them to distribute this money to customers who really need it if they had been able to reassure us they had not kept 25% of the money.

“They didn’t or couldn’t give us this reassurance. Some of these private companies have seen the energy market as a one-way bet to get richer. That is simply wrong – shareholders, not customers, should foot the bill for failure.”

ELN has approached Karin Sode, David Pike and Centrica for comment – they did not respond before publication.

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