British Gas Fix and Fall November 2013

Econometrics

It looks like the British Gas Fix and Fall deal is "there will be a six per cent price rise in November 2012 but if you accept a NINE per cent price rise then we promise we will exempt you from any further price rises until Nov 2013. And if there is a fall in that year we will knock it off your nine per cent increase". Looks like a poor bet to me, but might be of interest for someone for whom any likelihood of an increase above nine per cent would be a big problem

Magic_Man

Also had the email from them today.

Not really much of a service is it - all they are giving is a fixed rate at the price it's going up to anyway for a year - in which time the price won't usually go up anyway (and highly unlikely to come down) since any price rises are usually this time of year anyway.

...so why not just automatically put everyone already on the standard tariff on it?

As an aside, being on the online energy tariff - which is 'guaranteed' to be 4% less than the standard tariff until xxx etc. - then this email could even end up costing people more if they forget what tariff they are already on and switch up to the standard tariff from an already cheaper one.

Anyone like to guess what BG record profits will be next year...?

...the phrase, over a barrel comes to mind.

isofa

Econometrics wrote: »

It looks like the British Gas Fix and Fall deal is "there will be a six per cent price rise in November 2012 but if you accept a NINE per cent price rise then we promise we will exempt you from any further price rises until Nov 2013. And if there is a fall in that year we will knock it off your nine per cent increase". Looks like a poor bet to me, but might be of interest for someone for whom any likelihood of an increase above nine per cent would be a big problem

Not what it says in my letter, no mention of a 9% increase for the fix and fall from 11/2012 to 11/2013. It's purely the 6% which everyone will be clobbered with whether on Fix & Fall or not. (I suspect the 9% option you may be talking about is a 2 year fix, not offered on the mailshot.)

The fix is based on the new standard tariff which is 8.072 [Tier1] / 4.531 [Tier2] p/kWh. The wording precisely is: "By taking advantage of our Fix & Fall November 2013 tariff, which is exclusively to existing customers, you can fix your prices at our new Standard rate until 30/11/2013**" The ** = prices are capped from and including 16/11/2012 until and inc. 30/11/2013.

The Fix and Fall tariff is identical in both Tiers to the new increased Tariff valid from 16/11/2012.

It's pretty obviously that they aren't going to fall (and I suspect unlikely to rise either) in this period and this is why they are explicitly offering this to existing customers.

I suspect this is more of a marketing drive to see how many people respond.

emwah

We are already on the online tariff which is cheaper than what the new 'Fix and Fall' rates will be. Is is cheaper to stay on this online tariff and take a risk than to swap to fix and fall, which may not even go up anyway?

RP2X

So whats the bottom line on this?

Does not look like either way anyone wins here, and does sound like british gas just keep there customers for another year without them switching or jumping ship....

Make the change of leave on standard tarrif ?

WatlingA5

I THINK I'm better off moving from the Online Energy tariff - "4% discount against our Standard tariff until 31st January 2014" to their suggestion that my best deal is Online Variable November 2013 (6% discount against Clear & Simple tariff).

But it's not easy to work out - the tariff I'm on is two-tier (smaller discount) while the Online Variable has a daily standing charge. I'm cynical enough to assume the discount will not apply to the standing charge, only to gas used. So I might be better off staying where I am, after all :eek:

Any help on simply deciding between those two tariffs gratefully accepted.

Don't you just hate seeing a grown man cry

LightWave

WatlingA5 wrote: »

I THINK I'm better off moving from the Online Energy tariff - "4% discount against our Standard tariff until 31st January 2014" to their suggestion that my best deal is Online Variable November 2013 (6% discount against Clear & Simple tariff).

But it's not easy to work out - the tariff I'm on is two-tier (smaller discount) while the Online Variable has a daily standing charge. I'm cynical enough to assume the discount will not apply to the standing charge, only to gas used. So I might be better off staying where I am, after all :eek:

Any help on simply deciding between those two tariffs gratefully accepted.

Don't you just hate seeing a grown man cry

Greetings.. =]
I'm in the same boat too.... would be very interested to know this also.
Many Thanks.

WatlingA5

Hi Lightwave - Welcome to MSE.

They're a nice bunch here, so I'm sure we'll get a knowledgeable reply before too long

RP2X

Its no kidding Gas suppliers make it tricky to understand about the tariff, I was on the british gas website looking at the tariff options and they all look like there just trying to lock you into staying with them for another year if anything.

Its a fair assessment to say prices wont improve nor will they go up since there about to go up, maybe after a year they may go up again, so whats all the point.

I tried to check my existing tariff and its not even mentioned on the British gas website, talk about difficult. I think this is how these companies have been making money from us for many years, will be interesting to see how the government makes any changes!

But at this point I don't fancy shopping and changing suppliers am content with British Gas, so looks like I will go with British Gas Fix and Fall November 2013 option at least prices wont go higher and if it goes lower I benefit.

RP2X

Seems a lot of nonsense at British Gas website, they are asking for Meter types and Direct Debit/Card information when they already have this information, when I try to upgrade/change my tariff.

Guess it is even more difficult to switch to a tariff to save money, think ill just stick with standard tariff, then again I cannot even confirm I am on that tariff or what are the differences between my existing tariff and the others, guess that is one way these energy suppliers make even more money from us !