Almost 300 workers in South Wales have been made redundant after their employer, an energy efficiency provider, collapsed into administration.
Company Ceases Trading with Immediate Effect
Consumer Energy Solutions (CES), which operates from sites in Swansea and Rhondda Cynon Taf, appointed administrators on January 9, 2026. A notice on the company's website confirmed it had "ceased trading with immediate effect."
The firm, owned by the City Energy Group, employed 295 people. Staff were reportedly informed their jobs were at risk during a Teams call just before Christmas, leaving many, in the words of one anonymous employee, "beside myself along with my colleagues" and in a state of "turmoil."
Scheme Closure Blamed for Restructure Failure
The proposed restructure that ultimately failed was attributed to the conclusion of the UK Government's Energy Company Obligation 4 (ECO4) scheme. This initiative, which CES operated, funded home energy upgrades like insulation, solar panels, and heat pumps to help homeowners save money.
With the scheme winding down this year, the company's business model became unsustainable. The administration of CES does not affect other companies within the City Energy Group.
Consequences for Customers and Creditors
The joint administrators, James Saunders and Michael Lennon of KR8 Advisory Limited, have confirmed the company cannot complete any outstanding work for customers. They stated: "As Consumer Energy Solutions has entered administration, we will be unable to carry out any remedial works or repairs, or to progress or resolve any existing complaints."
Customers with issues are directed to contact relevant insurance-backed guarantee providers. Creditors and employees will be contacted directly regarding next steps and claims. Creditors with retention of title claims are asked to email CES@kr8.co.uk.
A spokesperson for the Department of Energy Security and Net Zero commented on the broader policy shift, stating: "The ECO and GBIS schemes were not delivering value for money. We are instead investing an additional £1.5 billion into our Warm Homes Plan, taking it to nearly £15 billion."
