Climate Energy and Mark Group go into administration
Posted by Gabby Mallett on 8 October 2015 at 12:15 pm
Climate Energy today became the second Green Deal Provider to call in the administrators within 24 hours. The company grew quickly from 2001 and at its peak employed 160 people. The number of employees had already fallen to 128, but a further 30 people were made redundant yesterday.
Yesterday, Mark Group, a large home insulation company and Green Deal Provider, also announced that it was going into administration.
1,165 jobs are now at risk at Mark Group with 939 told that they would lose their jobs with immediate effect. The company has kept on 226 staff to keep the business ticking over, but all residential or domestic customers have now had any appointments cancelled. These customers should call 0800 633 5036 with any queries.
It looks as though its new build business will continue for a short time whilst the company tries to find a buyer, but with other companies in a similar position this may not be so easy.
Many consider the loss of such large companies as a scathing indictment of the current Government’s clear lack of support for energy efficiency and their flagship Green Deal Policy.
Mark Group was one of the first Green Deal Providers and a long established business, founded in 1974.
The company's Chief executive Dave Sowden has called on the government to rethink its entire approach to energy policy.
He said: "This could easily have been avoided if the government had paid attention to clear signals about the need to instil confidence in the market.
"Ministers were warned long before the election of a confidence problem in the sector due to lack of clarity on policy and frankly could have easily prevented this."
Following the election the Government has scrapped its policy on Zero Carbon New Homes, ceased investment in the Green Deal Finance Company and removed the Green Deal Home Improvement Fund. It has also begun consultations on reducing or even scrapping the Feed-in Tariff for Photovoltaics. Many now aren’t sure what support this Government is prepared to provide to encourage any energy measures in homes.
Sadly, Climate Energy and Mark Group may be the first of many firms, both big and small, who will no longer be able to trade in this volatile market.
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