Energy regulator Ofgem has released new data today (29 April) showing that Octopus Energy has become Britain’s largest electricity supplier, with a 22% market share.
Octopus has gained more than 1.9 million customers since Q1 2023, with around 6.8 million households now served by the company. The energy supplier was founded just eight years ago.
The company was significantly aided by the migration of Shell Energy Retail and Bulb, both of which took place throughout 2023. Following Octopus’ takeover of the business in late 2023, 1.3 million households transferred over from Shell Energy Retail, and 1.5 million customers were also transferred from failed energy supplier Bulb.
Additionally, Octopus posted strong energy supplier switching, with more than 800,000 customers choosing to join from other suppliers. The company was also the only large energy supplier to increase its market share over the past year.
Greg Jackson, founder of Octopus Energy Group, said: “We’ve invested relentlessly in outstanding people and technology to deliver better customer service and lower costs – and today’s news shows that this works.”
The top five electricity suppliers in the GB market
According to Ofgem’s newly released data, British Gas (20.3%), E.ON (16.8%), OVO (13%) and EDF (10.9%) round off the rest of the top five electricity providers in the British market. However, each of these companies saw a downturn in their market share.
In Q4 2023, the number of active licensed suppliers decreased by one due to Shell’s exit, acquired by Octopus in December 2023.
The combined market share of the large legacy suppliers was 70% in electricity and 69% in gas. Other large, medium, and small suppliers accounted for the remaining 30% and 31%, respectively. You can find a breakdown of the market share below.
Octopus continues international partnerships and domestic deals
Octopus Energy has supported its upward trajectory in the British energy market via various key partnerships, both international and domestic.
On the domestic technological front, the organisation has recently signed deals with Ocergy and Enphase, both of which are designed to support the rollout of renewable technologies across the UK.
The deal with California-based Enphase Energy would see the deployment of Enphase IQ8 Microinverters and IQ Battery 5P in the UK. This would enable UK-based Octopus customers to integrate Enphase’s home solar and battery systems into their energy plans.
Octopus invested an undisclosed sum in US-headquartered Ocergy via its generation arm in a bid to reduce the time and cost of developing floating offshore wind farms.
The Octopus investment is set to help commercialise Ocergy’s technology and fuel the company’s expansion into new markets. It is made on behalf of Vector, Octopus Energy’s offshore wind fund launched at the end of last year and marks the latest step in the company’s global offshore wind rollout.
