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  • FIRST POST
    • dollydiva
    • By dollydiva 15th Jul 16, 2:13 AM
    • 283Posts
    • 99Thanks
    dollydiva
    GB Energy Price Hike
    • #1
    • 15th Jul 16, 2:13 AM
    GB Energy Price Hike 15th Jul 16 at 2:13 AM
    Received an email from GB Energy announcing they were raising their variable rate tariff by 7%


    Never really been happy with this bunch of amateurs since I discovered they want meter readings every month AND unless you give them on the last day of the month, you get an estimated bill.


    The increase takes place on 21 August - oh but you can avoid it by signing up ANOTHER 12 months onto their fixed 12 Crystal Tariff. In other words, we're holding you to ransom unless you sign up again.


    I really, really, shouldn't bother with any Energy supplier recommended by mse Energy Club. 3rd time in a row now that it's turned out to be a con - they sell it to you saying its' the 'best' low tariff and then sucker you in; then the price increases start and the Energy Club has the damn cheek to email you to tell you that you're not getting the best tariff. Evidently, irony is lost on the Energy Club.
Page 2
    • ticklemeellen
    • By ticklemeellen 18th Jul 16, 4:03 PM
    • 2 Posts
    • 0 Thanks
    ticklemeellen
    Sorry to hijack a bit but can anyone direct me to somewhere I can find GB energy's tarriff information with their unit rates, just want to compare for myself as I am very happy with Ovo and want to figure out if its really worth switching. I can't seem to find on their website because I am utterly useless with technology.

    Thanks
    • Hengus
    • By Hengus 18th Jul 16, 4:34 PM
    • 2,491 Posts
    • 1,304 Thanks
    Hengus
    https://www.gbenergysupply.co.uk/signup/?gclid=CP_gg5Cr_c0CFde6GwodfNkIsw

    https://www.gbenergysupply.co.uk/prices
    • t0rt0ise
    • By t0rt0ise 18th Jul 16, 5:25 PM
    • 2,819 Posts
    • 1,690 Thanks
    t0rt0ise
    Weird. I'm with GB Enerby and looking today at uSwitch there are lots cheaper for me. I will choose and change today.
    • Hengus
    • By Hengus 18th Jul 16, 5:28 PM
    • 2,491 Posts
    • 1,304 Thanks
    Hengus
    Weird. I'm with GB Enerby and looking today at uSwitch there are lots cheaper for me. I will choose and change today.
    Originally posted by t0rt0ise
    Look at separate suppliers. GB is not competitive on gas, but the cheapest for me for electricity.
    • lstar337
    • By lstar337 19th Jul 16, 8:51 AM
    • 2,871 Posts
    • 1,470 Thanks
    lstar337
    Robin Hood Energy
    Avro
    Places and People Energy
    So Energy

    All cheaper than GB energy in my area.

    18 suppliers cheaper than the GB Energy Fix, 3 of which are from the big6.
    • The Green Hornet
    • By The Green Hornet 19th Jul 16, 10:23 AM
    • 341 Posts
    • 573 Thanks
    The Green Hornet
    I have been with GB Energy Supply for my electricity supply for just under three months (was cheapest when I switched), and I haven't experienced any problems whatsoever with them (easy switch, realistic DD, clear monthly billing etc), but with their upcoming price increase and noncompetitive fixed rate tariff it is now time to move on yet again.

    I'm not a big electricity user (1000 kWh / £148 per year) so any switch which offers £15 cashback saves me an additional 10% on top of tariff savings (if any). Sadly, it looks like I will be returning to one of the big 6 but then this is all about saving money after all.

    I wonder how many customers GB Energy Supply will lose because of this price hike.
    6 x Sharp 220 W panels. 1.32 kWp. SMA Sunny Boy 1200 inverter. South facing 30 degree pitch roof with no shading. Eco-eye SmartPV monitor.
    • backfoot
    • By backfoot 19th Jul 16, 10:36 AM
    • 2,680 Posts
    • 2,214 Thanks
    backfoot
    Robin Hood Energy
    Avro
    Places and People Energy
    So Energy

    All cheaper than GB energy in my area.

    18 suppliers cheaper than the GB Energy Fix, 3 of which are from the big6.
    Originally posted by lstar337
    The point repeatedly made is that GB Energy were extremely competitive on electricity prices and overall savings could be made from splitting away from Dual Fuel contracts.

    Both the variable price and fixed term electricity contracts were the lowest for some time. Even after the variable price increase electricity is still quite good but anyone who locked into the even cheaper Topaz tariff still retains the best electricity price.

    I am not a fan of any one Supplier and GB Energy could improve their system functionality. To be fair to them,however, as a new entrant they have delivered some good prices and that must be a good thing.
    • Bark01
    • By Bark01 19th Jul 16, 11:56 AM
    • 739 Posts
    • 235 Thanks
    Bark01
    I wonder how many customers GB Energy Supply will lose because of this price hike.
    Originally posted by The Green Hornet
    What would you rather do, lose customer or go bust.

    There's a reason Ofgem are trying to push through new rules on what to do when suppliers go bust.

    Energy prices are increasing and its very likely most of the smaller suppliers will go out of business as they don;t have the finances to have a large hedging window.
    • backfoot
    • By backfoot 19th Jul 16, 1:33 PM
    • 2,680 Posts
    • 2,214 Thanks
    backfoot
    What would you rather do, lose customer or go bust.

    There's a reason Ofgem are trying to push through new rules on what to do when suppliers go bust.

    Energy prices are increasing and its very likely most of the smaller suppliers will go out of business as they don;t have the finances to have a large hedging window.
    Originally posted by Bark01
    Wow this is all a bit over dramatic. . As with all Suppliers, prices change, new tariffs get introduced, others withdrawn.

    GB Energy have made a change to their variable tariff but it still remains the next best market price for my region for electricity. (after their fixed rate Topaz tariff). There will always be movement of customers between Suppliers but there is nothing to suggest a major migration away from GB Energy.

    There will always be a business risk to Suppliers that cash flow may threaten their viability and in particular new entrants. They will price their products accordingly and GB energy ask for a month's payment in advance to assist them.

    What exactly do you mean by 'don't have the finances to have a large hedging window' ? I don't understand your terminology and I am pretty sure other readers will not get it either.
    • lstar337
    • By lstar337 19th Jul 16, 2:20 PM
    • 2,871 Posts
    • 1,470 Thanks
    lstar337
    What exactly do you mean by 'don't have the finances to have a large hedging window' ? I don't understand your terminology and I am pretty sure other readers will not get it either.
    Originally posted by backfoot
    It means they don't have tons of cash to use as a bargaining chip to get a good deal on energy for a nice long term.
    • backfoot
    • By backfoot 19th Jul 16, 3:19 PM
    • 2,680 Posts
    • 2,214 Thanks
    backfoot

    Energy prices are increasing and its very likely most of the smaller suppliers will go out of business as they don;t have the finances to have a large hedging window.
    Originally posted by Bark01
    What exactly do you mean by 'don't have the finances to have a large hedging window' ? I don't understand your terminology and I am pretty sure other readers will not get it either.
    Originally posted by backfoot
    It means they don't have tons of cash to use as a bargaining chip to get a good deal on energy for a nice long term.
    Originally posted by lstar337
    Really?

    GB Energy will need to obtain sufficient supplies to cover their expected demand from their customer base. As they seem to be shifting their tariffs towards one year fixes with regular new tariffs (as per other Suppliers), they will purchase at market rates.

    On top of that, they will cover overheads and their profit margin.

    I don't think volume discounts apply. If they did, no new entrant could possibly compete, let alone be market leaders on price as GB Energy have been for some time.

    The market doesn't work on bartering just because someone has a big bank balance.
    • lstar337
    • By lstar337 19th Jul 16, 4:22 PM
    • 2,871 Posts
    • 1,470 Thanks
    lstar337
    Really?

    GB Energy will need to obtain sufficient supplies to cover their expected demand from their customer base. As they seem to be shifting their tariffs towards one year fixes with regular new tariffs (as per other Suppliers), they will purchase at market rates.

    On top of that, they will cover overheads and their profit margin.

    I don't think volume discounts apply. If they did, no new entrant could possibly compete, let alone be market leaders on price as GB Energy have been for some time.

    The market doesn't work on bartering just because someone has a big bank balance.
    Originally posted by backfoot
    The big6 buy their energy years in advance and basically gamble with prices and hope it pays off. They have said as much*.

    Smaller suppliers are buying their energy at current rates. Currently the rates are good, so little suppliers are booming. Things may change in the future though, and the gambles of the big6 may make them much more competitive than the smaller suppliers, pushing them out.

    *In fact, they use it as their token excuse as to why their prices don't track the market and reduce along with the cost of basic fuel.
    • backfoot
    • By backfoot 19th Jul 16, 5:32 PM
    • 2,680 Posts
    • 2,214 Thanks
    backfoot
    I agree that many suppliers and in particular the big 6 will advance purchase capacity to cover their respective demand. I am sure GB Energy also do this with a timescale that is likely to be shorter.

    The former is no guarantee of success because oil price volatility can throw the gamble (hedge) out of kilter. GB Energy have a massively smaller customer base so their cash requirement to advance purchase will depend on their available funds.Proportionately, they may be advance purchasing to the same level.

    They may or may not be cash rich depending on how they are funded by investors.

    I think there are a lot of assumptions flying around here which may not be at all relevant to individual companies.

    I personally wish them good luck because if we have this competitive market I like the new entrants like OVO , a few years back, and GB to do well as that breaks the complacent club of the big 6.

    This thread has gone from unfair criticism of GB on price to doom and despair about their future prospects. Harsh in my humble opinion. All we can judge is what their offer currently is and as far as I am concerned it is good for me on electricity.
    Last edited by backfoot; 19-07-2016 at 10:53 PM.
    • lstar337
    • By lstar337 20th Jul 16, 9:18 AM
    • 2,871 Posts
    • 1,470 Thanks
    lstar337
    This thread has gone from unfair criticism of GB on price to doom and despair about their future prospects. Harsh in my humble opinion. All we can judge is what their offer currently is and as far as I am concerned it is good for me on electricity.
    Originally posted by backfoot
    Nobody here has said anything bad will happen to GB Energy, just that smaller suppliers are more vulnerable when the market is less favourable.

    You seem to be fighting an argument nobody else is having.
    • backfoot
    • By backfoot 20th Jul 16, 9:57 AM
    • 2,680 Posts
    • 2,214 Thanks
    backfoot
    Nobody here has said anything bad will happen to GB Energy, just that smaller suppliers are more vulnerable when the market is less favourable.

    You seem to be fighting an argument nobody else is having.
    Originally posted by lstar337
    I have been responding to the Original Poster who has imho unfairly criticised GB Energy about prices and have misunderstood what variable tariffs mean. They have also ignored that that GB energy still have one of the best fixed term electricity tariffs, which they deemed to be ransom if they took it up.

    Then the poster Bark01 said directly that most of the smaller Suppliers would go out of business.(on a thread specifically about GB Energy)

    You must have missed those points.
    • lstar337
    • By lstar337 20th Jul 16, 11:17 AM
    • 2,871 Posts
    • 1,470 Thanks
    lstar337
    I have been responding to the Original Poster who has imho unfairly criticised GB Energy about prices and have misunderstood what variable tariffs mean. They have also ignored that that GB energy still have one of the best fixed term electricity tariffs, which they deemed to be ransom if they took it up.
    Originally posted by backfoot
    Well yes, the OP is clearly on a rant.

    Then the poster Bark01 said directly that most of the smaller Suppliers would go out of business.(on a thread specifically about GB Energy)
    Originally posted by backfoot
    Could you please point out where Bark01 said "smaller suppliers would go out of business"?

    The closest I can see is this:
    What would you rather do, lose customer or go bust.
    Originally posted by Bark01
    Which was a direct response to this:
    I wonder how many customers GB Energy Supply will lose because of this price hike.
    Originally posted by The Green Hornet
    The way I read the situation, Bark01 was defending GB Energy's decision to raise prices. In the wake of rising wholesale energy costs, GB Energy had two options; 1) Raise variable prices in line with wholesale costs in order to maintain cash flow and keep the company running. 2) Keep the same prices even though their costs had increased, hemorrhaging money until the company folds.

    GB Energy seem to have taken the sensible option of staying in business.

    Therefore,
    What would you rather do, lose customer or go bust.
    Originally posted by Bark01
    Simply points out that GB Energy are going to risk losing a few customers (through a price rise), in order to remain in business.

    You must have missed those points.
    Originally posted by backfoot
    I feel that you have missed a few points.
    • backfoot
    • By backfoot 20th Jul 16, 5:29 PM
    • 2,680 Posts
    • 2,214 Thanks
    backfoot
    Well yes, the OP is clearly on a rant.

    Could you please point out where Bark01 said "smaller suppliers would go out of business"?
    Originally posted by lstar337
    What would you rather do, lose customer or go bust.

    There's a reason Ofgem are trying to push through new rules on what to do when suppliers go bust.

    Energy prices are increasing and its very likely most of the smaller suppliers will go out of business as they don;t have the finances to have a large hedging window.
    Originally posted by Bark01
    It was in the very same post. I have highlighted it, because you have missed it again.

    You seem strangely intent on arguing the toss with my input rather than the substance of the thread. Oh well.
    Last edited by backfoot; 20-07-2016 at 5:31 PM.
    • ByteZine
    • By ByteZine 5th Aug 16, 11:54 AM
    • 23 Posts
    • 2 Thanks
    ByteZine
    Fixed, no exit Fee :
    So if on Variable, I guess this makes Fixed a no-brainer ?
    • haamad
    • By haamad 14th Oct 16, 10:21 AM
    • 2 Posts
    • 0 Thanks
    haamad
    GB Premium Energy Saver Tariiff Price Hike
    I've on the Premium Energy Saver Tariff with GB Energy, and I've just received an email saying that says
    " Because wholesale prices have increased, from 13 Nov 2016, the price you pay for your electricity is increasing from 10.24p per kWh to 13.59p per kWh. Your electricity standing charge has increased from 16.10p per day to 24.28p per day..."

    For me that translates to a whopping 34% increase in cost !!

    Naturally I switched suppliers within 30 minutes of their email. If anyone else is on this Tariff I suggest you check it out very quickly.
    • mandm65
    • By mandm65 14th Oct 16, 10:38 AM
    • 516 Posts
    • 60 Thanks
    mandm65
    Naturally I switched suppliers within 30 minutes of their email. If anyone else is on this Tariff I suggest you check it out very quickly.
    Originally posted by haamad
    Hi Haamad,
    would it be possibel for you to share the name of the supplier you went to?
    cheers
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