The Lemon Fool

My fixed energy deal ends in June 2022. I'm trying to get a clear idea of the best solution once this expires.

Has anyone looked at changing their tariffs either to fixed or capped and have you got actual values for your existing tariffs and new tarriffs.

Many thanks in advance.

At present, your best option appears to be to hold on to your fix until the very last day then let it roll onto the capped rate, which should remain the same until October.

Your capped rates will depend on where you are in the UK and on which company you use. With all the uncertainties over supply with the Putin invasion of Ukraine, fixed prices are ridiculously expensive at present, but might stabilise in a month or two depending on world affairs.

There are smalish geographical differences in the capped price, and within that, each company has some (though not much) leeway in setting it's standing charge and unit price.

As to the actual figures, this post on Martin Lewis's boards gives the post April figures including VAT. This will give a pretty good idea of your likely costs if you know your usage; more so if you have a month by month breakdown so know your likely usage from when your fix ends up to the next as yet unknown rise in October.


https://forums.moneysavingexpert.com/di ... t_78957887

I'd strongly suggest you be seated .

Standing charge 25.093p per day to 48.127p ( +91.8%)
Unit charge 20.582p to 27.865p (+35.3%)

With a promise of more to come.

I tried U Switch an Go Compare but they both issued a very similar message to say to stay without current provider and you are unlikely to benefit from moving.

Edit...the numbers I quote are very very similar to the table.

https://www.theice.com/products/910/UK-Natural-Gas-Futures/data?marketId=5101977

Current gas price is about 460p per therm
1 therm is 29.3kwh, so about 16p per kwh wholesale price for gas

The ~7.5p price cap for gas is the best value, especially since wholesale cost only makes up about 40% of the price normally

I am currently on a one year fix expiring on 19/03/22.

Electricity: standing charge 18.95p per day Kwh rate 14.52p
Gas: standing charge 18.49p per day Kwh rate 2.58p

rates from 19/03/22 (variable tariff - presumably based on capped rate)

Electricity: standing charge 0.00p per day Kwh rate 23.11p
Gas: standing charge 0.00p per day Kwh rate 4.838p

rates from 01/04/22 (variable tariff - presumably based on capped rate)

Electricity: standing charge 42.241p per day Kwh rate 28.02p
Gas: standing charge 27.219p per day Kwh rate 7.342p

Ouch!

They did offer me a fixed rate deal, but they estimated that would cost me 52% more than the new April prices, so I didn't investigate further. Come October of course I may regret that . . .

Presumably all of the figures quoted do not include vat......another 5%.

Anyone explain why the standing charge is permitted to rise significantly?
I thought the rises were something to do with the price of oil and gas.

stockton wrote:Anyone explain why the standing charge is permitted to rise significantly?
I thought the rises were something to do with the price of oil and gas.

It's (at least in part) to pay for the bankrupt suppliers. Those with credits with defunct suppliers are having those credits paid for by the companies to which they have been transferred, but those companies will need to recoup this.

It can't be added to gas as not everyone has a gas supply, so it's added to the electricity standing charge.

staffordian wrote:

stockton wrote:Anyone explain why the standing charge is permitted to rise significantly?
I thought the rises were something to do with the price of oil and gas.

It's (at least in part) to pay for the bankrupt suppliers. Those with credits with defunct suppliers are having those credits paid for by the companies to which they have been transferred, but those companies will need to recoup this.

It can't be added to gas as not everyone has a gas supply, so it's added to the electricity standing charge.

I wonder how long it will take to recoup the debt..( I don't believe the numbers and I bet that they could be pulled apart by anyone with an O-level in mathematics). Will the SC then revert to a lower level?

richlist wrote:Presumably all of the figures quoted do not include vat......another 5%.

Good point - I'd forgotten about that. The original prices don't include VAT, but the new prices from 19/03/22 & 01/04/22 do. So the original prices should be:

Electricity: standing charge 20.95p per day Kwh rate 15.25p
Gas: standing charge 19.41p per day Kwh rate 2.71p

UK natural gas has just gone to 697p per therm, up 51% today on the Trading Economics website. Is that right?

scotview wrote:UK natural gas has just gone to 697p per therm, up 51% today on the Trading Economics website. Is that right?

Start filling balloons at 7.5p/unit from your supply then sell them when the price cap doubles

anon155742 wrote:

scotview wrote:UK natural gas has just gone to 697p per therm, up 51% today on the Trading Economics website. Is that right?

Start filling balloons at 7.5p/unit from your supply then sell them when the price cap doubles

Fill the diet with not-quite-adequately-prepared pulses, and make your own.

We are now with B.Gas but the mother in law (92 years old) is with Octopus. We logged onto her account.

Current bill is £1654 per year.

New forecast based on her energy usage is £4524.

This is pre-Putin invasion cost.

I can see Riots erupting as people realise how much their bills will be.

monabri wrote:We are now with B.Gas but the mother in law (92 years old) is with Octopus. We logged onto her account.
Current bill is £1654 per year.
New forecast based on her energy usage is £4524.
This is pre-Putin invasion cost.
I can see Riots erupting as people realise how much their bills will be.

Interesting. Since my original post I have checked my Supplier's latest fixed price quote, current annual bill £1300, new fixed price deal £5,900, pre Putin.

I think I read somewhere today that .Gov are considering a further, targeted £400 energy payment later in the year. These payments will begin to become extremely unfair to tax payers who are excluded from the payments, as well as not really covering significant increases to lower income household energy bills.

I honestly believe that a large proportion ( I say, the majority) of folk haven't yet woken up to the level of future bills.

monabri wrote:We are now with B.Gas but the mother in law (92 years old) is with Octopus. We logged onto her account.

Current bill is £1654 per year.

New forecast based on her energy usage is £4524.

This is pre-Putin invasion cost.

I can see Riots erupting as people realise how much their bills will be.

I just went through the numbers myself based on downloaded bills (all customer readings) and I arrived at a figure slightly above, £4547.

Won't we all be turning the gas central heating off around April ? That should provide a respite until Autumn. I think food, shop goods generally, petrol & diesel prices will be of more concern for many.

richlist wrote:Won't we all be turning the gas central heating off around April ? That should provide a respite until Autumn.

Depends whether

a. people accept the vastly increased monthly DD payments the suppliers will request and seriously cut back their spending now so they have built up some credit over summer to tide them over the winter when the heating comes back on, or

b. they refuse to 'lend them the supplier the money' because they don't have it now, so come the winter and the enormous bills come through they can't afford to pay and get cut off.

I suspect there will be a *lot* of b type customers.

I suspect that the problem will be much, much bigger come next winter and current price increases will probably look quite attractive then. Clearly there are going to be a large proportion of the population that just won't be able to pay, the Gov' attempts to help will fall far short of the mark and we will all be in deep trouble.

But apart from that it was looking quite Springlike this morning, the sun was shinning and daffodils where out everywhere.