The head of Great British Energy’s ambitious £1 billion local power initiative is under renewed scrutiny following revelations about her leadership of a previous renewable energy start-up that collapsed with significant investor losses. Sarah Merrick, who led Ripple Energy until its administration last year, oversaw the company as it accrued debts exceeding £10 million linked to a proposed wind farm project in Scotland.

Administrators managing Ripple’s liquidation have reported recovering less than £7 million from a ringfenced account intended to cover investor claims. The company’s former chief financial officer, Will Dodd, was struck off as an accountant by the Association of Chartered Certified Accountants (ACCA) after being found guilty of serious professional misconduct related to his conduct at Ripple. The ACCA disciplinary committee heard that Ripple had used funds from several companies it managed as working capital without proper authorization for several months.

During the ACCA proceedings, Merrick testified that Dodd had misled her by circulating project accounts he allegedly prepared himself, while claiming these were produced by an independent auditor. The committee was told Dodd provided a fictitious name for the auditor, deliberately misspelled, and tried to misrepresent the Financial Conduct Authority’s position by sharing a selective screenshot suggesting the accounts had been accepted, despite a rejection noted in omitted sections. James Halliday, representing the ACCA, described Dodd’s actions as “duplicitous and dishonest,” breaching ethical standards, and affirmed the truthfulness of Merrick’s testimony.

Despite this, several Ripple investors have expressed concern about Merrick’s overall financial oversight and questioned her suitability to oversee Great British Energy’s large-scale taxpayer-funded project. Rik Temmink, an investor involved in multiple Ripple initiatives, remarked that Ripple was a modestly sized company with relatively straightforward finances, and questioned how Merrick could be unaware of the company’s dire financial issues. He suggested that Merrick’s performance amounted either to negligence or incompetence, casting doubt on her capability to manage the financial complexities of Great British Energy.

Merrick acknowledged before the disciplinary committee that while Dodd’s misconduct did not directly cause Ripple’s collapse, the company was under-resourced and had to reduce its team to just three employees in late 2024. Dodd attributed his actions to stress and an effort to keep the company afloat during challenging times.

Requests for comments from Merrick, Great British Energy, and Dodd were not responded to. The developments raise questions about governance and financial control in projects involving significant public investment in renewable energy.