Am I mad NOT going for a fixed rate?

Raksha

Currently on Standard rate E7 with EDF. Monthly payments around £150 month for 3 bed double glazed semi facing north/south.

My argument is that the gradual increase of prices is easier to budget for than a sudden leap at the end of a fixed rate.

Pincher

Your logic is based on a total absence of arithmetic, or in fact, the numbers from real tariffs.

sbradnam

Having fixed to Mar 17 with EDF, and paying 20 quid less per month than you (4 bed detached), perhaps you should consider fixing.

Or at least reviewing your energy usage which does seem a bit high?

Best wishes

Stuart

MillicentBystander

Probably unlike ever before there are far more impossible to adequately assess factors before going for a fixed deal (certainly a long fixed deal). First up is Call Me Dave's apparent plan to take off a decent portion of green levies from our bills, due to be announced in the Autumn statement. Then of course there is the wrong Milliband's pledge to cap energy prices for a period of time when he gets in power in 2015.

Personally, I wouldn't fix beyond the date of the next GE. But who knows? No matter what you think of Milliband's pledge, politically it seems to have made the Tories actually take the electorate's concerns regarding the energy industry far more seriously. The focus is now well and truly on both of them.

DragonQ

Considering there are quite a few fixes out there that don't have exit fees, it does seem a bit silly to stay on variable tariffs. That's easy for me to say though, as both times I've switched electricity the cheapest tariff was a fixed tariff with no exit fee. My gas price has gone up 22% in the last year and a bit due to being on a variable tariff and it is annoying but I'll probably switch that to a capped tariff soon anyway.

MillicentBystander

DragonQ wrote: »

Considering there are quite a few fixes out there that don't have exit fees, it does seem a bit silly to stay on variable tariffs. That's easy for me to say though, as both times I've switched electricity the cheapest tariff was a fixed tariff with no exit fee. My gas price has gone up 22% in the last year and a bit due to being on a variable tariff and it is annoying but I'll probably switch that to a capped tariff soon anyway.

That would all depend on how much you had 'overpaid' on the fixed deal when you decided to jump ship. That could be classed as the real exit fee.

seven-day-weekend

Raksha wrote: »

Currently on Standard rate E7 with EDF. Monthly payments around £150 month for 3 bed double glazed semi facing north/south.

My argument is that the gradual increase of prices is easier to budget for than a sudden leap at the end of a fixed rate.

We pay £74 a month on a fixed tariff from EON and are £200 in credit at the moment. We have a three-bedroom mid-terrace Victorian house. Double glazed and facing south/north same as yours.

We don't often heat the upstairs (only in the depths of winter) and also have a woodburner.

Nevertheless I think you are paying an awful lot for your fuel.

DragonQ

MillicentBystander wrote: »

That would all depend on how much you had 'overpaid' on the fixed deal when you decided to jump ship. That could be classed as the real exit fee.

Yeah true, like I said fixes have always been cheaper for me but if they carried a large premium it'd be different. If it was like £30/year more though I'd probably take it.

apt

Raksha wrote: »

Currently on Standard rate E7 with EDF. Monthly payments around £150 month for 3 bed double glazed semi facing north/south.

My argument is that the gradual increase of prices is easier to budget for than a sudden leap at the end of a fixed rate.

If you had to MOT your car presumably you would go to the garage that charged £40 rather than £30 on the grounds that you might have to pay £50 the following year.

molerat

According to the comparison sites the cheapest (but more expensive) 9 available to me are fixed, 4 with no penalty, the cheapest variable coming in 10th. 3 of those no penalty tariffs are up to Mar/Apr/May 2015. Put your numbers into a comparison site and see what it shows. You can always put the "increases" into a savings account every month so you are prepared for it when it comes and you will have the money you would have otherwise wasted saved up.

Pincher

There is no better proof than being told by a comparison site that you are on a tariff cheaper than any other on the market. Try doing that with a standard tariff. :rotfl: