David Pike and Karin Sode said People’s Energy will give customers 75 per cent of its profits and provide free shares to those that remain with the company.

One year on after being set up with support from crowdfunding, securing the Ofgem licence means the company is now legally able to enter the market and start registering customers to be supplied with gas and electricity.

People’s Energy wants to keep its customers year after year and will provide free shares to those that remain with the company. Consumers will also have a voice in shaping the company with representation on the board and salaries, decisions, accounts and prices will all be shared, meaning People’s Energy will be the first completely transparent and customer-focused energy company in the UK. The initiative is being backed by a number of senior business people, including former chair of Gleneagles Hotel, Peter Lederer CBE and former CEO of the Clydesdale and Yorkshire Banks, John Wright.

Mr Pike said: “The vision for People’s Energy is to have over one million customers, all of whom are in control of their gas and electricity and getting a percentage of the company’s profits back.

“Our company is about putting trust back into the market, currently there is very little. We want our customers to know that we have their best interests at heart and that with us they will have a say in how the company is run.”

Mrs Sode added: “Energy comes from natural resources that should belong to us all, not private entities. We are absolutely passionate about returning ownership of this natural resource to consumers.”

To date the duo has raised over £450,000 on Crowdfunder from the pledges of 2,000 supporters. People’s Energy will start providing energy from the beginning of August.