British Gas Price Fix until 2012

Gareth56

Going by their 2012 fixed prices for my area and who I'm currently with my (current)electricity prices would have to rise by Tier1 129% & Tier2 56% and with respect to my (current) gas prices rises would have to be Tier1 56% & Tier2 28%

May be worth staying put, what do people think?

fatlad1971

Gareth56 wrote: »

Going by their 2012 fixed prices for my area and who I'm currently with my (current)electricity prices would have to rise by Tier1 129% & Tier2 56% and with respect to my (current) gas prices rises would have to be Tier1 56% & Tier2 28%

May be worth staying put, what do people think?

personally i wouldn't touch it with a barge pole , prices will IMO drop next year

£35 cancellation fee or £70 if dual fuel if you move during the capping period of 4 years

1carminestocky

What really should be borne in mind when looking at fixing on these sort of deals is the overpayments you will be paying immediately until the non-fixed tariff rates 'catch up'. Plus, as fatlad1971 suggests, there is no guarantee that prices will continue increasing in the short term (of course there is also no guarantee they will reduce, either, but with the price of oil dropping approx 35% since July I would imagine the energy companies can't keep ignoring it and if it continues at present levels then a reduction will be on the cards, certainly in the short term)

fatlad1971

1carminestocky wrote: »

What really should be borne in mind when looking at fixing on these sort of deals is the overpayments you will be paying immediately until the non-fixed tariff rates 'catch up'. Plus, as fatlad1971 suggests, there is no guarantee that prices will continue increasing in the short term (of course there is also no guarantee they will reduce, either, but with the price of oil dropping approx 35% since July I would imagine the energy companies can't keep ignoring it and if it continues at present levels then a reduction will be on the cards, certainly in the short term)

Couldn't agree more , there are no grantees

Factors which have driven these recent price increases are pretty much at a worse case scenario, obviously there are many factors involved and No one can 100% predict what will happen with prices in the future.
But there is a growing consensus within the industry that prices have or are very close to peaking.
Like i said no one can predict 100% what would happen , if they could they would be sat on the beach with billions in the bank.
Common sense dictates that what goes up will come down , British gas or any other supplier are not looking at creating tariffs to save you money , they are a business , they are looking to maximize there profits.

paulonline123

even the people who work for bg think this tariff is crap tbh, i'd steer clear.

You need to pay a 7.5% premium on current rates for gas and electric (that is after the fact that for monthly direct debit on an average usage BG is already around 20 - 30 pounds more expensive) plus on top of that you dont get direct debit discount.

This is equivelent on an average user of around another 7.5% on gas and 5% on electric so you paying 15% more on gas and 12.5% more on electric on top of an expensive tariff.

If you want a good rate just ring them up and tell them you posted off the 2011 forms but have had nothing back through the post. can you confirm i'm on it ....

They are instructed not to question you, just to put you on it.

jmoshen

Have just received the emailinvite to British Gas cap dual supply until 2012. Do they really mean they will charge £45 for each supply cancellation (toatl £90) AND still increase the charges by 90%? Sounds like daylight robbery to me.

backfoot

Are these cancellation fees legal? How are they arrived at and what do they cover? Are they an Unfair Contract Condition? Why have they crept in when they didn't exist with some of the earlier fixes? Are they anti competitive?

Cardew

backfoot wrote: »

Are these cancellation fees legal? How are they arrived at and what do they cover? Are they an Unfair Contract Condition? Why have they crept in when they didn't exist with some of the earlier fixes? Are they anti competitive?

There was(is) a penalty on the 2010 deal introduced in 2005.

I can't think how it can be an unfair contract condition if you are notified about it in the Terms and Conditions - which you accept; and it is not mandatory to apply for a fixed tariff.

Penalty clauses are commonplace in all sorts of long term agreements in Finance.

You take a gamble on any fixed/capped tariff and that is surely part of the gamble.