Cheap prices for over 60s

lisyloo

what makes you think staywarm is cheaper?

I looked it up for my parents and thought it was very expensive.
About £40 per month (£480 per year) for a small flat.

Paul_Varjak

LISYLOO said:

what makes you think staywarm is cheaper?

My question was a rhetorical one aimed at those who think STAYWARM is cheaper. Hence the use of the phrase 'supposedly works out cheaper'.

lisyloo

Does anybody know why unmetered gas/electric supposedly works out cheaper that metered gas/electric but unmetered water is supposedly more expensive than the metered variety?

Speaking in very general terms.
The only answer I can give is that the water companies in general give relatively high unmetered bills, whereas the gas/electricity comanies in general give relatively low unmetered bills.

I also have a feeling that there may be some obligations on the gas/electricity companies to provide this service whereas I am not aware of anything similar with water (not too sure about this just have something at the back of my mind).

Paul_Varjak

As far as I know, it is only STAYWARM that offers an unmetered service so I do not think there can be any requirement placed on the gas/electric companies to provide an unmetered service.

Water has, historically, been unmetered in residential properties. Even in these days of metered provision you cannot be forced to take a metered supply. However, once a metered supply is provided at a residential property you cannot change back to an um-metered one (except under the on-year rule).

lisyloo

It's possibly that there was a requirement historically and that the scheme has stayed in place for historical reasons.

The only explanation really is that the staywarm scheme is priced better than unmetered water.

Paul_Varjak

I don't think that there has ever been an historic requirement to provide unmetered electric/gas but when I heard about STAYWARM a few years ago that is what I thought also.

But I made a few enquiries and found there was no such requirement and that Eastern Electric (who launched the scheme) merely did so off their 'own back'.

Initially they did supply the service to the over 60s and also to disabled people under 60. However they no longer supply to disabled people under 60 (like myself) unless they joined before this change.

I think the reason for supplying a cheaper unmetered gas/electric service (and it certainly was at the time of launch) is that who would switch to such a service if it was not cheaper?

Similarly, unmetered water was the norm and who would switch to a metered service if it cost more? This was especially so when metered water was first offered; you had to pay to install the meter and you could not revert back to an unmetered tariff if you found it more expensive.