• Swindon & Wiltshire Economy
• Tuesday April 14 2026

Bristol’s Ovo energy to sue TalkTalk

Bristol-based energy company Ovo Energy has launched legal action against TalkTalk in a dispute over a broadband customer deal that has gone sour, according to reports.

The claim centres on a 2022 agreement in which Ovo sold its telecoms business, including around 135,000 broadband customers, to TalkTalk.

Under the deal, TalkTalk paid an upfront sum and agreed to make further payments if certain performance milestones were met.

But the arrangement appears to have collapsed after a large number of customers left the service, reducing the value of the transaction and prompting TalkTalk to withhold the remaining payment, reports said.

The case comes at a difficult time for both companies. Ovo is trying to raise £300m and may also consider a sale, while it continues to face financial pressure and regulatory scrutiny over its resilience.

TalkTalk, meanwhile, is dealing with heavy debt, rising interest costs and wider efforts to stabilise its business.

The dispute stems from a telecoms arm Ovo inherited through its purchase of SSE Energy Services, before later agreeing to sell the broadband unit to TalkTalk.

The legal fight is now being watched as another sign of strain in both the energy and telecoms sectors, where customer churn, debt and tighter conditions have made growth harder to secure.

The court case will now decide whether the remaining payments are due.