TXU Europe on the brink of collapse

The possible collapse of a second major UK generating firm in the space of a month is fuelling fears of a wider crisis in the UK energy market. In October, TXU Europe – part of the US-based TXU group – was put up for sale by its parent company after mounting losses due to low power prices. TXU Europe defaulted on at least one major payment, and analysts suggested it could be forced into bankruptcy