MSE News: British Gas and EDF to cut gas prices next month

British Gas and EDF have become the last of the Big Six energy firms to announce a price drop this year, cutting the price of gas next month by 5.1% and 5% respectively. ...
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'British Gas and EDF to cut gas prices next month'
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  • pearl123
    pearl123 Posts: 2,053 Forumite
    Name Dropper First Anniversary Combo Breaker First Post
    Doesn't this rather make it more interesting to hang on until the price cuts have come in before switching!
  • This will always be the case while wholesale gas prices are dropping. It will be slowly passed on until prices rise again. That is why it is a good idea to be on a tariff without any exit fees and one that also allows you to hop to a new tariff with the same supplier.

    I tariff hoped 9 out of 12 months last year to a new cheaper (for me) tariff with the same supplier.
  • footyguy
    footyguy Posts: 4,157 Forumite
    Combo Breaker First Post
    pearl123 wrote: »
    Doesn't this rather make it more interesting to hang on until the price cuts have come in before switching!

    You'll almost certainly find the price cuts only affect variable tariffs i.e. the expensive ones that are costing consumers about £350 a year more than they need to anyway (assuming they have credit meters)

    Better to switch today and save £350 than wait until next month to when you will save about £35 on those expensive tariffs.
  • BBC News confirms that EDF is not planning on offering new lower fixed deals - this announcement only applies to the standard variable rate which is only used by people who are forced to (on a pre-payment or payment meter) or don't know any better.

    Annoyed by EDFs account tariff comparison 'service' - it claims I can 'save money' by switching from their Blue November 2016 to February 2017 fixed tariffs. However it is nothing of the sort - the base prices and standing charges are all higher on their Feb 2017 tariff :eek:

    So how can they claim I will be 'saving money'. Well, only because they have recently artificially whacked up my estimated usage amount by over £100 when their own graphs on the bill show I am using much less energy than I was in the same period last year.

    They have increased my DD such that now, towards the end of winter, I am actually in credit!

    There is no justification for the large increase in my estimated usage and i'm considering phoning them to find out their excuse. I consider it misleading that by doing this they are then encouraging me to swap onto a worse tariff by claiming I will save money; the only reason my monthly DD would go down is because of the artificial increase they have recently wacked on it :mad:
  • I am just going through the process of switching from EDF to BG as part of the Cheap Energy Club deal (1st time I've done it). I have already had the welcome to BG email but I'm wondering if I should wait being as BG have just announced a price drop. Does this make the CEC deal less beneficial? The calculator said I would be approx. £300 better off by switching but will it be more or less beneficial now with BG's price drop? Not sure what to do.
  • Nascar98 wrote: »
    I am just going through the process of switching from EDF to BG as part of the Cheap Energy Club deal (1st time I've done it). I have already had the welcome to BG email but I'm wondering if I should wait being as BG have just announced a price drop. Does this make the CEC deal less beneficial? The calculator said I would be approx. £300 better off by switching but will it be more or less beneficial now with BG's price drop? Not sure what to do.

    great ! BG drop their woeful standard/variable and fix and fall down 5% from 4.2p/kwhr to 4p/kwhr..I ll stick to the MSE collective and get 2.6 p /kwhr and a 5p drop in standing charges and another £30 cashback.
    I d need a 20% drop
  • Bark01
    Bark01 Posts: 882 Forumite
    Name Dropper First Post First Anniversary Combo Breaker
    BBC News confirms that EDF is not planning on offering new lower fixed deals - this announcement only applies to the standard variable rate which is only used by people who are forced to (on a pre-payment or payment meter) or don't know any better.

    Annoyed by EDFs account tariff comparison 'service' - it claims I can 'save money' by switching from their Blue November 2016 to February 2017 fixed tariffs. However it is nothing of the sort - the base prices and standing charges are all higher on their Feb 2017 tariff :eek:

    So how can they claim I will be 'saving money'. Well, only because they have recently artificially whacked up my estimated usage amount by over £100 when their own graphs on the bill show I am using much less energy than I was in the same period last year.

    They have increased my DD such that now, towards the end of winter, I am actually in credit!

    There is no justification for the large increase in my estimated usage and i'm considering phoning them to find out their excuse. I consider it misleading that by doing this they are then encouraging me to swap onto a worse tariff by claiming I will save money; the only reason my monthly DD would go down is because of the artificial increase they have recently wacked on it :mad:
    It’s not EDF’s fault, they are following license conditions. In 2013 Ofgem forced all suppliers to take into account any changes that will happen to the customer of the next 12 month. As your current tariff ends in November of this year the total amount they are calculating you’ll owe over the next 12 months is based on 8 months on your current tariff and 4 months on their more expensive standard tariff.

    In terms of consumption they will be using weather correction. Everyone’s consumption will have dropped significantly over the past 12 months due to the unseasonably warm winter. Suppliers will attempt to estimate what consumption would be had the weather been normal. As abnormal weather reduced consumption last year, any forward prediction will assume a return to the norm and uplift last years consumption.
  • Thanks Bark01 - yes that makes sense I suppose, but I still think they really need to be more careful than they are when boldly claiming that a new fix will 'save you money' when in fact until the end of your current fix it would actually make you worse off.

    Of course now the suppliers have all cut I will be looking to fix again at the lower rates - looks like EDF will be losing me if they don't get their skates on with a new lower fixed deal soon.
  • I wonder if anyone can advise me.... I switched from first utility to Robin Hood Energy back in Oct. FU sent a final bill based on a estimated electicity reading. (way too high) I have given RH all my readings and they are arguing with FU about the start reading and taking a long time to sort it. Now keep getting emails from cheap energy club about switching, as I can save a lot especially on the collective switch. While I have this dispute over the start reading ongoing, would this totally screw up this dispute if I switch again?
  • footyguy
    footyguy Posts: 4,157 Forumite
    Combo Breaker First Post
    I wonder if anyone can advise me.... I switched from first utility to Robin Hood Energy back in Oct. FU sent a final bill based on a estimated electicity reading. (way too high) I have given RH all my readings and they are arguing with FU about the start reading and taking a long time to sort it. Now keep getting emails from cheap energy club about switching, as I can save a lot especially on the collective switch. While I have this dispute over the start reading ongoing, would this totally screw up this dispute if I switch again?

    The dispute can take some time to be resolved.

    However, what the readings were the last time you switched will not affect any new supplier, and so switching should not cause any issue with the existing dispute if you were to do so again.
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