Consumer Groups Urge Ovo Customers Not to Panic Over E.On Takeover Plans

Consumer groups have urged Ovo customers not to panic after rival E.On announced plans to buy the company.

All existing tariffs will be honored in full, and gas and electricity service will remain unaffected under the planned deal, consumer group Which? said.

The takeover would create Britain's largest energy supplier, surpassing current leader Octopus in customer numbers.

E.On, which serves 5.6 million customers, and Ovo, with four million customers, will keep operating separately until regulators decide on the deal, possibly later this year.

The deal's value has not been disclosed, though earlier reports pegged it at up to £600 million ($780 million). Regulators will review the takeover before granting approval.

Both companies stated that customers will see no changes during the regulatory review and that tariffs, including fixed deals, will be honored through the contract term.

Emily Seymour, energy editor at Which?, said: "If you're an Ovo customer, don't panic. Your gas and electricity supply will continue as usual."

"E.On has assured customers that existing tariffs will be honored in full and service will continue unchanged," she added. "You don't need to do anything, and you're still able to switch suppliers if you wish."

Seymour noted that even if approved, credit balances would be protected as customers transfer automatically.

Marc Spieker, E.On's chief operating officer for commercial operations, called the UK an important growth market for the company.

"Energy flexibility and electrification are becoming increasingly important and are critical to the success of the energy transition," he said.