London Energy Fixed Price 2008

Got a flyer in the post this morning from London Energy. Looks like they are doing a Fixed Price tarriff till 2008. With the offer ending 30 November 2005. Although the website states 31st December 2005?

As a dual-fuel online customer, what concerns me is that it's not clear what the prices are (they just say call 0800 096 9000 to find out):

will cost just a bit more than our standard variable rate, from as little as £2.50 extra a month for gas and electricity.

Firstly, I think their 'standard' variable rate is their standard tariff which is already more expensive than the online tariff I'm on. From what someone else had happen with the capped tariff offer, you probably have to move onto LE's more expensive standard tariff first to qualify for this fixed deal. So your prices go up ontop of the fixed tariff fee, resulting in much higher bills than expected. Which is not made clear on the flyer. Probably why they say 'from' as little as £2.50.

They make a point that unlike BG there are no cancellation charges, which I guess is something so if prices do seem to be going down you can get out. But will they let you back onto the online tariff? Think in previous situations they can't provide the online tarriff directly and you need to transfer to one of the other EDF companies using an online comparison site again to get it.

All in all, I think this fixed offer is more a benefit to current standard tariff customers than online tariff ones.

They also quote the Daily Telegraph (6th August) advising customers to fix their gas/electric prices for the next 2yrs. But I keep hearing wholesale prices are meant to be coming down in the next few years? Or do companies buy their supplies in advance at todays prices?