MSE News: Households will get energy firm's cheapest deal, Government says

Former_MSE_Helen

"The Government has today confirmed it is still pressing ahead with plans to force energy companies to limit costs..."

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Households will get energy firm's cheapest deal, Government says



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Wywth

"So, we will amend the Energy Bill to reduce the bamboozling array of tariffs available on the market and to simplify bills, whilst continuing to work with Ofgem to deliver a simpler, more competitive market."

So we'll prevent anyone getting a nice cheap deal and force everyone onto the supplier's standard (expensive) tariff.

They'll be swigging the Moet back at the shareholders annual party this year!

Andy_WSM

The government are incompetent idiots!

Don't they realise by doing this they are reducing competition in the market place? I don't want to pay more so that others pay less. What the hell is that all about?

Let those that don't shop around pay more! It's no different to grocery shopping. You look for a product at a price that suits you.

MillicentBystander

Wywth wrote: »

"So, we will amend the Energy Bill to reduce the bamboozling array of tariffs available on the market and to simplify bills, whilst continuing to work with Ofgem to deliver a simpler, more competitive market."

So we'll prevent anyone getting a nice cheap deal and force everyone onto the supplier's standard (expensive) tariff.

They'll be swigging the Moet back at the shareholders annual party this year!

For people like us it's bad news but we are definitely in the minority! We have had it good for years on the backs of those on standard deals being ripped off. The good times are over for us, the new initiative will be fairer for the vast majority, we'll just have to deal with it

LardyCake

MillicentBystander wrote: »

... the new initiative will be fairer for the vast majority ...

A bit premature to assume that, I would say.

It may be meant to be fairer for the vast majority, but I'm sure the energy companies will be looking for wriggle room to make it unfair for all (except themselves).

Given that this initiative appears to have been thought up on the spur of the moment by the PM at question time without consulting the minister first, I don't have much hope for it.

Butterfly_Brain

As Wywth says all the energy companies will just use the standard tariff they will not want to lose money on their bonuses and dividends. DC would have been better renationalising the thieves and using the massive profits without offshore accounts and tax evasion to pay off the defecit

MillicentBystander

I guess we will just have to see but my belief is there will be a much needed 'flattening out' of the tariffs and their charges. The MD of British Gas truly let the cat out of the bag last year when he stated they would no longer rip off their loyal/existing (yes, some would say apathetic) standard rate customers in order to fund the loss leading, short term online deals to attract new customers. Many of us on here have been saying for a long time that it doesn't cost the energy supplier £200 more to administer a standard account compared to an online account. It's not right/fair and needed addressing imo. IIRC 35% of the population still do not have net access so it's not just apathy that stops some of those who remain on standard tariffs from getting a cheaper deal.

wakeupalarm

Take a note of your consumption and prices now, come back when these new measures are in place and expect energy bills to increase by around 30%.

[Deleted User]

wakeupalarm wrote: »

Take a note of your consumption and prices now, come back when these new measures are in place and expect energy bills to increase by around 30%.

If I swapped today, my bill would increase by a minimum of 13% using Martin's new energy club and I only changed supplier 5 months ago. So I think a 30% increase is too small, it will be more like 50% by the time the Bill becomes law.

Andy_WSM

MillicentBystander wrote: »

IIRC 35% of the population still do not have net access so it's not just apathy that stops some of those who remain on standard tariffs from getting a cheaper deal.

If you ignore the fact that tax payer funded library's up & down the country provide free Internet access.

MillicentBystander

Andy_WSM wrote: »

If you ignore the fact that tax payer funded library's up & down the country provide free Internet access.

Yes, I'm sure non net savvy people will be only too willing to administer their G&E account from their local library :cool: Dress it up how you will but us rate tarts have been getting 'great' deals on the backs of the supplier's existing and loyal standard rate customers being royally shafted. And, putting aside selfishness, that ain't right. Why should that old widow down the road who is neither net-connected or net savvy fund the deals the likes of you and I take advantage of? Like I said before, the disparity in charges between a standard tariff and online tariff is in no way connected to how much each account costs to administer. None other than Phil Bentley (British Gas MD) admitted this.