does a raise in the variable rates mean a raise in the fixed rates in august?

evosy1978

If the scottish power put their rates up in august, does this mean their fixed deals will go up and be MORE expensive than the variable deals in august?

macman

If they could put the prices up, they wouldn't be fixed tariffs...
They can only increase at the end of the contract, when you would normally revert to standard tariff anyway.

evosy1978

but am i right in thinking they will stop offering these deals soon and then create some new fixed deals which will be at a higher rate than their august 1st increased variable deals.?

macman

Yes, that's almost certainly correct. There are very few fixes left at or near variable tariff prices, and they'll probably be pulled imminently. Firms like EDF will hoover up some new business from SP refugees and then axe those cheap fixes.

grizzly1911

macman wrote: »

Yes, that's almost certainly correct. There are very few fixes left at or near variable tariff prices, and they'll probably be pulled imminently. Firms like EDF will hoover up some new business from SP refugees and then axe those cheap fixes.

Yep just signed up to EDFv2Fix from FOL8 at expiry, it was virtually the same as the best variable on offer from Eon (after cash back) and cheaper than the others (20% v. 30%+uplift) for me.

My view is that I can take an increase (within reason) at the expiry and still be in line with longer deals.