Former OVO Energy chief returns as company faces financial headwinds

Chris Houghton, formerly the UK retail energy company’s CFO and CEO from 2014 to 2018, is returning to lead the business as it looks to attract investors for hundreds of millions of pounds.

After 18 months as CEO, David Buttress has left his role with OVO Energy, which has over 4.5 million customers in the UK. James Davies, the company’s CFO, has also exited the company.

Taking Buttress’ place is Chris Houghton, who, the company says in a release, built it into ‘one of the most trusted names in energy’. ‘

OVO calls Houghton an industry veteran with 20 years’ experience in the energy sector and a deep understanding of OVO’s business, customers and the energy retail sector, alongside a track record of operational and financial leadership. 

Specifically, says OVO Energy, Houghton was a key member of the leadership team that scaled OVO from a challenger brand into one of the UK’s largest independent energy providers. 

Said Houghton on his return: “I know first-hand what a brilliant business OVO is, powered by smart and passionate people. 

“I’m delighted to be back and working with our Chair Jayne-Anne and the team to help realise the potential of the business. With focus, discipline and absolute commitment to customers, we have an opportunity to build an even stronger OVO. I can’t wait to get started.”

Said Dame Jayne-Anne Gadhia, Independent Chair OVO: “As the energy market continues to rapidly evolve, OVO is focused on disciplined operational performance and exceptional customer service. 

“This leadership change will ensure we approach this new chapter with the agility and innovation we need to best serve our customers. Chris’ track record and deep connection with the company make him ideally situated to lead OVO through this pivotal period.”

Have you read?
‘If I had a magic wand I’d build an open platform to bring together all energy data’ says Microsoft’s Peris
Jørgensen cites Denmark as poster child for energy transition lessons

Capital adequacy

OVO’s leadership shift comes months after the supplier reported financial losses for the end of 2024 at £135 million, down from their profit of £1.1 billion ($1.4 billion) at the end of 2023. 

The Group’s adjusted EBITDA for the end of 2024 came to £42 million ($55 million), down from £225 million (294.7 million).

Additionally, the company had to take actions to strengthen its finance & investment balance sheet in response to Ofgem’s financial resilience requirements for H2 2024 and H1 2025, leading the Group to bring the OVO brand into its ownership. The Group also entered a £60 million ($78.6 million) borrowing facility after the balance sheet date. 

Now-former OVO Energy CFO Davies – reported by Sky News to be replaced by Simon Todd, his deputy and a long-standing OVO executive – said the Group is committed to improving its capital position and is working closely with Ofgem to deliver a capitalisation plan to meet the minimum capital requirement.

However, the Group in their September financial report cites ‘uncertainty’ about the timing and extent of the plan due to certain elements being outside their control.

OVO was founded by green energy entrepreneur Stephen Fitzgerald, who is reportedly in talks to secure the future of the business by selling new shares in the company to raise up to £300 million ($393 million). 

Said Buttress on his exit from the company:

“Leading OVO’s retail energy business has been a great privilege and I am proud of the progress we have made in strengthening the business and supporting customers. I’d like to thank everyone at OVO for their dedication. 

“I wish Chris and the team every success as they take OVO forward.”