BRITSH GAS CAP 2011 - SHOULD i ???

SAGWALA_3

Hi,
Have just noticed BG New product Cap until 2011.
BG are currently my Dual Fuel Supplier and I am on Click Energy 5

What are your thoughts about switching to a cap?
Are they tieing me into a heavily, 35%, hiked price, for 3 years, or is it a genuine good offer from BG in a very uncertain market?

My gut feel on this is to cap, as I feel things are only going to get worse in the forseeable future, however ...............

I would be most grateful of some 'very well versed' peoples comments (cardew for instance) on this forum about the constantly fluctuating antics of the energy suppliers.
Thankyou in anticipation

Trevor

PoorPaul

Hi

I wouldn't say I'm one of the 'well versed' ones, but see
http://forums.moneysavingexpert.com/showthread.html?t=1064737&page=4
in particular Martin's post (2nd one down).

Hope that helps

Paul

Cardew

Hi,
For the past 3 or 4 years we have had this debate - whether to go for the various capped/fixed price tariffs offered by all the Utility companies.

Perhaps the biggest debate was in 2005 on the BG fixed to April 2010 tariff.
I have little doubt that the same arguments will be rehearsed on this current offer.
The main point to make is that it was a gamble for all the capped/fixed tariffs and this tariff is no different - it is up to you to decide if it is a gamble worth taking.

That said I believe that everyone who has elected for a fixed price tariff in the past, has benefited from the deal; but that doesn't mean that will aways happen in the future.

My personal opinion is that the days of cheap energy are gone for ever, and prices will continue to rise for years to come and we will look back at the days when we only paid £1000 a year for gas and electricity with nostalgia.

It is very convenient to blame the energy companies for this, but in the end it boils down to the oil/gas producing countries(OPEC/Russia etc) who will determine prices for the years ahead.

So if I were not already on a fixed price tariff, I personally would elect for as long a term fix as I could find.

BUT IT IS STILL A GAMBLE.