No Green price reduction on Fixed Tariffs

dogshome

Today's Telegraph carries an article that most of the Big 6 will not be reducing prices for those customers on Fixed Price tarrifs

Their stance is that these customers have already " Already Benifited "
This I presume is because they think that those customers well into the term of a Fix, are already paying lower prices than the current market rate.
But hold on - Aren't these the same customers who paid a premium price to get onto a fix in the first place? - And what about the customers who only recently signed onto a Fix and are still on a tariff that is above the market rate?

Bark01

Fixed price deals are exactly that a fixed price, its a gamble that prices will increase.

Fixed price deals have not been increased in the past whilst Green prices have increased and they won't rise in the future if any part of the products cost bases increases. Its likely that over the course of your product other costs will increase by more than the green reduction.

You don't have an argument.

NittyGritty

npower and British Gas are, the rest have either said they are reviewing or will not pass on to fixed, so its not a case of "No Green price reduction on Fixed Tariffs" its a case of wait and see when the rest announce it

Npower will pass on all three elements of the Government's savings onto all households, including those on fixed tariffs. Savings will also be passed on to tariffs currently on sale. A date hasn't been set yet

matelodave

AS most agreements say that the supplier has the right to adjust the tariff in the event of a VAT or government change, then it's not unreasonable for the supplier to reduce it if a government levy is changed.
However, if they haven't previously increased prices on fixed tariffs when the levies have been imposed or increase then they would reasonably say that they aren't going to reduce them when they go down.


You'd really have to look at your T&Cs to see what they say and what your supplier has done in the past. The whole idea of a fix, is just that - it's fixed and should iron out any changes in the pricing both up & down. It's a gamble that both you and the supplier take when you sign the contract.
You can always change again, you might find that saving £50 (if that's what it is) will offset a £30 termination fee

lstar337

People on Fixed deals whining about their price not going down is getting tiresome.

Choosing a fixed price deal is a gamble, not a guarantee. Lucky for most of you, some of the suppliers are passing on the reduction, and others can switch away.

Please stop acting like you were sold something that promised you low prices with no possible chance you would lose out, you weren't.

MillicentBystander

lstar337 wrote: »

People on Fixed deals whining about their price not going down is getting tiresome.

Choosing a fixed price deal is a gamble, not a guarantee. Lucky for most of you, some of the suppliers are passing on the reduction, and others can switch away.

Please stop acting like you were sold something that promised you low prices with no possible chance you would lose out, you weren't.

I concur.......

[Deleted User]

Hi,

I'm on a fixed deal and wouldn't expect the price to come down, I fixed for the term and I'm happy.

It's like taking 10/1 on a horse and it wins at 20/1, it could've come into 5's,

or buying shares at £5 and they drop to £2 or you get lucky they go to £10.

Chance you take, I've won and lost on horses and shares.

Dave_save

It may be worth staying on a fixed deal, if the long term maths shows the difference isn't worth switching. Once this £1 per week has bought Dave and Clegg their votes, the prices are sure to continue to rise. Being on a fixed deal for me has always been a winner, and I see no good reason to jump ship now.

Richie-from-the-Boro

ScottishPower's current Standard Domestic Product, Typical Cost†/Per Annum is:

Low User - £374.90
Medium User - £531.99
High User - £767.62

ScottishPower's current Fixed Energy Price Guarantee till 31st December 2015 is:

Low User - £407.10
Medium User - £582.59
High User - £845.82

Monthly Direct Debit, variable Direct Debit, quarterly Direct Debit, online Debit Card or quarterly by Cash, Cheque or Postal Order prices guaranteed to be fixed until 31st December 2015

ScottishPower's current Fixed Energy Price Guarantee till 28th February 2015 is:

Low User - £377.31
Medium User - £524.48
High User - £745.23

Certainty over your prices until 28th February 2015. Product includes WithFreedom. Online account management. Online* and Dual Fuel** discounts may apply.

You takes your pick, the world spins round, and you see where the 'pick a risk' and the word 'Guarantee' takes you over the next 26 months.

NittyGritty

dogshome wrote: »

Today's Telegraph carries an article that most of the Big 6 will not be reducing prices for those customers on Fixed Price tarrifs

Their stance is that these customers have already " Already Benifited "
This I presume is because they think that those customers well into the term of a Fix, are already paying lower prices than the current market rate.
But hold on - Aren't these the same customers who paid a premium price to get onto a fix in the first place? - And what about the customers who only recently signed onto a Fix and are still on a tariff that is above the market rate?

heres the statements from the big 6, so don't get your heading "No Green price reduction on Fixed Tariffs"

Will the big six providers pass this saving on?


MoneySavingExpert.com asked the big six energy suppliers whether or not they'd be passing on the Government's savings. All will pass on the WHD rebate, although other details are less clear or vary by company. Here's what they said:

• British Gas will pass on all three elements of the Government's savings onto all existing customers, including those on fixed deals, from 1 January. The savings will also be passed onto tariffs being sold from the same date. It says an average dual fuel customer will save £53 as a result.
• EDF will pass on the savings made from the WHD rebate onto all of its customers, including those on fixed deals. It says the saving will also be passed onto its tariffs on sale from the same date, although prices won't change. It's yet to set a date for this. ECO and network savings won't be passed on as EDF says it factored these in when it announced a 3.9% price rise this winter, smaller the other big six suppliers.
• E.on will pass on the WHD rebate to all customers, including those on fixed deals, although it's yet to decide when this will take place. It also hasn't decided whether it will also be passed onto tariffs being sold from then onwards. It is yet to announce if the other two savings will be passed on.
• Npower will pass on all three elements of the Government's savings onto all households, including those on fixed tariffs. Savings will also be passed on to tariffs currently on sale. A date hasn't been set yet.
• Scottish Power will pass on all three elements of the Government's savings onto variable and prepay customers only. Fixed electricity customers will only get the £12 WHD rebate. These savings will be passed on in "early 2014". Scottish Power is also yet to confirm whether tariffs on sale from then onwards will incorporate the savings.
• SSE says all three elements of the Government's savings will be passed onto variable and prepay customers before April. It's reviewing whether or not to pass the savings onto those with a fixed deal. Savings will also be passed onto tariffs currently on sale.

NPowerUser

Both EON and EDF will only pass on £12 of £50 eco reduction announced by the government in their autumn statement, for those on fixed tariffs only
http://www.dailymail.co.uk/money/bills/article-2519520/Millions-50-energy-cut-Osbornes-pledge-roll-green-levies.html