MSE News: British Gas simplifies tariffs at the cost of higher prices

davidgmmafan

"I think it was start of 2010, supposedly new bill format introduced at the time, easier to under stand - no - actually laid out in a worse way, just has more information on it, thus making even more baffling if you are already clueless!"

Totally agree with this. A well intentioned change backfiring. Clearly customers need to have an idea of thier annual consumption in order to compare. However there is so much stuff on the statements that most people don't understand.

Also I believe the reason gas is billed in Kwh is that this is the law, why not change the law so it is billed in cubic metres or cubic feet? People could understand this. With electricity one unit on the meter is one unit for gas it isn't so.

chris1973

This is why we need to punish the higher users

That sounds like a great idea! - Tesco is a high user, as are other supermarkes so no doubt their higher bills will ultimately reflect in higher / increased goods' prices.

Its really easy to try and structure an energy company into an ideal philosophy which is tailored exactly to suit ourselves and our own perfect, ideal vision. Unfortunately, even in an 'i'm all-right Jack' scenario, if you eat or use goods and services inevitably you'll be indirectly footing somebodies' increased bill(s) through increased end customer prices which have been added at each stage right down the logistics food chain, even if the feel good factor from a slight decrease in your own bills may make it seem otherwise.

galank

Existing customers are unaffected by the British Gas changes, while it is maintaining its four offline deals.


Ehhhhh who said that ?

They've just cancelled my accounts / D/D's .
Then re-set them up on new tariff, and higher D/D's.

Is this actually LEGAL ?

Also they say old account was 0.00 in debt/ cred ?? Never ??
Yet cant get any old statements thru online site to clarify these . (Convenient me thinks )

BobQ

galank wrote: »

Existing customers are unaffected by the British Gas changes, while it is maintaining its four offline deals.


Ehhhhh who said that ?

They've just cancelled my accounts / D/D's .
Then re-set them up on new tariff, and higher D/D's.

Is this actually LEGAL ?

Also they say old account was 0.00 in debt/ cred ?? Never ??
Yet cant get any old statements thru online site to clarify these . (Convenient me thinks )

Which deal were you on?

BobQ

In any other industry you would save money by reducing the number of products, thereby reducing staff costs, thereby enabling you to pass on the benefits in lower prices and putting one over on your competitors?

Ah !!!! thats the problem - no competition.

Thanks Dave, thanks Chris a great triumph for coalition government......

galank

Was on Click Energy 5

Now on Standard..

TIMMY85

Click 5 ended a while ago and you should have had an email advising of websaver/onlinesaver tariff but if you did nothing then you would have gone to standard which is higher!

anniecave

I'd like to agree with the comment that gas and electricity bills could be made simpler. I used to work in billing for an energy supplier and I still really struggled to make any sense of scottish power's bills as the way they used to set the bills out, and the terminology, just made no sense! I think they might have amended them a bit since, but still not enough!

The difference between the amount billed and the amount paid should be more obvious, as that is the one thing that a lot of people really don't understand, and most energy bills do not make this clear enough!

How many people think, oh I'm only paying £50 per month on direct debit, therefore I must be getting a good deal, without looking at actually what the unit rates/tariffs are? Then gasp in shock when they suddenly get a "bill" for £300. No, the amount they're looking at is the oustanding balance, not the bill. And it's not actually the bill that's the problem, it's the amount they've previously paid, versus the billed amount, that's created the problem.

insanegloss

davidgmmafan wrote: »

Also I believe the reason gas is billed in Kwh is that this is the law, why not change the law so it is billed in cubic metres or cubic feet? People could understand this. With electricity one unit on the meter is one unit for gas it isn't so.

Except it isn't that simple! (Like everything I suppose) Cubic meters or feet are not units of energy, they are simply volumes, and gas varies in its energy content (the calorific value) as it is a natural product. Not only that you have to factor in the temperature and pressure difference from the standard cubic meter (15c at 1013.25 millibars when they measured the energy content)to when it actually arrives at your house, as on average this is slightly different, which is a standard correction of 1.02264.

So unfortunately, it looks like it will stay the way it is, but perhaps suppliers should be looking to educate people why it is the way it is instead of just showing the calculation as is.

davidgmmafan

I'm just thinking out loud here but I do find myself wondering how it was billed prior to de-regulation - was it the same measurement or different? My grandad says everything uses to be included in the price and I must admit this does sound like a much simpler arrangement. I realise this isn't really comparing like with like as the world is different to how would've been years ago, but the point remains they could make it simpler if they wanted to.

For example I understand why the detailed calculation needs to be on the bill in case people want to work it out exactly but what's to stop them saying for a ballpark figure multiply by X. That's all most people want a rough idea.

Sorry to keep banging on about this but I try to keep in mind how I used to glaze over when looking at the calculation prior to working for a supplier. I'm sure most people have the same reaction...