british gas fixed till 2009 - thr truth

tiger_-_lilly_4

we were with british gas initially, and read this site and use Uswitch to find a cheaper provider. We switched, but actually found it wasn't any cheaper. Then out of the blue we get a call from Britich gas asking us to go back adn they would assure us our rates will not go up before 2009, and that we should sign up - they were very pushy this was in 2006. The only problem is there is a fee to leave the service early - but why would you if it is assured that the prise wont rise- i mean it had 3 times that year?

Today i get a letter saying "you still have certainty over your energy rates"

On March 12th 2007 the price of gas will drop - but this will not affect you -due to the 2009 price promise!! But if the cost of the fule goes up, this will not go up for you! I was fuming

basically if your a loyal customer and sign up to this you get Fuc*over!!

I think this is wrong, and i have written to british gas and bbc watch dog as i am so annoyed.

is anyone else in this boat?

:mad:Emma:mad:

greyteam1959

Well the thing is you have signed a fixed price contract by the sound of it and that is what it is a FIXED PRICE contract for the term as stated.
So there you have it and unless you pay the penalty fee and leave early you are stuck.
However on the bright side have a look at the unit cost of the gas. You might find that depending when you signed the fixed price contract you might still be paying less on your contract than after their price cut ( if you see what I mean)
Depending on what the penalty fee is it might be worth paying it and going to someone cheaper......work it out.

Cardew

Covered here.

http://forums.moneysavingexpert.com/showthread.html?t=373344

Firstly it was stated on the on the BBC that BG have now waived the fee, so you can leave and go onto a lower rate if you wish without penalty.

I have to say I can't see why you are upset.

I also am on a Price Protection plan with BG.(PP2010). When we went with our fixed Price protection plans it was a gamble, and it has paid off so far, as we have had cheaper electricity(and gas if you have it).

Now that the new reduced prices are lower than your tariff, you have to take another gamble. You can leave you current tariff and get cheaper prices, but if the tariffs increase again in 2008 you would have been better off to remain on your fixed to 2009 tariff.

If you sign up for a fixed price tariff, surely you must expect your prices to be fixed?

jonesMUFCforever

I am on the fixed scheme to 2010.
They claim that even after the price reduction you will still pay 16% less for your Gas under this scheme.
Sounds good to me.

Cardew

ejones999 wrote:

I am on the fixed scheme to 2010.
They claim that even after the price reduction you will still pay 16% less for your Gas under this scheme.
Sounds good to me.

Yes PP2010 is still cheaper for gas and electricity.

However if there are further cuts in prices(and I hope there are) and BG Standard Tariff(or other tariffs) are cheaper than our PP2010 tariff, we have no cause for complaint.

We have to take another gamble - leave to take advantage of prices that might only be cheaper for a short period; or take the long term view that they might go up again and we would be better off staying on our current tariff.

jem16

What we really need is a crystal ball.

I chose also to gamble but a different gamble.

I chose not to go with BG Price protection 2010 and changed to London Energy(now EDF) in November 2005. My gas & electricity prices for my area have always been and still are below what I would have had to pay for the Price Protection 2010 tariff.

Hopefully they will be lower still when EDF announce their price cuts.

For me it has paid off very well so far.

emilyt

When our prices were capped we had a phone call from BG saying that if prices went up then ours wouldn't. The other point that was made that if the prices were lowered then ours would go down. Am i the only one to have mis understood what was said or did they trick me. I know this is what they said to me that is why i agreed to the price protection. Now i am confused.

tripled

Which offer are you on?

tripled

tiger_-_lilly wrote:

basically if your a loyal customer and sign up to this you get Fuc*over!!

By paying less than everyone on their standard rate since last September you must have been properly shafted.

Cardew

emilyt wrote:

When our prices were capped we had a phone call from BG saying that if prices went up then ours wouldn't. The other point that was made that if the prices were lowered then ours would go down. Am i the only one to have mis understood what was said or did they trick me. I know this is what they said to me that is why i agreed to the price protection. Now i am confused.

It would have been far better if you read the conditions, rather than relied on a phone call.

You could well have been tricked by someone out to get their commision, or you/they could have made a mistake.

If you went for the Price Protection tariff it has never been a condition that your prices would fall. Of the two PP2009 tariffs, the first one had a small penalty for leaving(now waived) and the second did not have a penalty.(you presumably would not want to leave the PP2007 or PP2010 plan)

So what is the problem now? You can leave to get cheaper prices if you want, or stay and be certain of what you will pay until the end of your agreement in 2009.

lynneandrea

I am also a BG price fix customer until April 2009. I was not advised when I fixed that I would have to pay a cancellation charge if I left although when looking at the information they sent several weeks later & someone told me of the charge, it was there in the small print (very small print). I was also not aware that my prices wouldn't fall and I have in fact got an email from a member of BG staff dated 05/10/06 confirming that if prices were reduced, mine would also be reduced. However, after sending three emails regarding various issues without response, I sent a fourth one threatening to make a complaint if I didn't hear from someone. I then received a phone call and was advised that my prices wouldn't fall despite the email and all he could do was appologise. So even if you get it in writing, it means nothing from British Gas. I will change supplier as soon as Martin gives the go ahead & after doing a comparison, NPower is looking good & as they have just announced they are reducing their prices. Even if I loose out, I will be glad to leave BG. Their online billing is a joke and customer service is non existant, not to mention them having been the most expensive supplier for several years.