Goodbye BG Collective Fix Feb 2017

Niemand

I'm puzzled by the results shown by Cheap Energy Club.

I'm on Collective Fix February 2017 tariff with British Gas, commencing 28 Feb 2016. My monthly payments for Gas & Electricity combined are as follows:

Mar - Aug 2016 £75.45
Sep 2016 - Feb 2017 £107.85

In an e-mail from British Gas it tells me that on my current tariff I pay £508.46 pa for gas, and £300.59 pa for electricity (£809.05 pa total) based on annual figures of 15,708 kWh for gas and 2,801 kWh for electricity.

This works out at £67 pm. The costs include VAT, unit rate for where I live, daily standing charge and discounts.

The e-mail says that if I change to the cheapest British Gas tariff I will make no saving for gas and £37.58 pa saving for electricity.

Now, here's what puzzles me, If I use those kWh figures on Cheap Energy Club, it tells me that I am paying £67 pm, which is £809 pa.

So why does Cheap Energy Club say £67 pm when I'm paying £107.85 pm?

System

Niemand wrote: »

I'm puzzled by the results shown by Cheap Energy Club.

I'm on Collective Fix February 2017 tariff with British Gas, commencing 28 Feb 2016. My monthly payments for Gas & Electricity combined are as follows:

Mar - Aug 2016 £75.45
Sep 2016 - Feb 2017 £107.85

In an e-mail from British Gas it tells me that on my current tariff I pay £508.46 pa for gas, and £300.59 pa for electricity (£809.05 pa total) based on annual figures of 15,708 kWh for gas and 2,801 kWh for electricity.

This works out at £67 pm. The costs include VAT, unit rate for where I live, daily standing charge and discounts.

The e-mail says that if I change to the cheapest British Gas tariff I will make no saving for gas and £37.58 pa saving for electricity.

Now, here's what puzzles me, If I use those kWh figures on Cheap Energy Club, it tells me that I am paying £67 pm, which is £809 pa.

So why does Cheap Energy Club say £67 pm when I'm paying £107.85 pm?

What type of comparison are you using? Ofgem mandates that suppliers and PCWs have to use a rolling 12 months projection based, in your case, on x months on your present tariff and 12 - x months on your supplier's standard variable tariff. This methodology results in an inflated cost and the mistaken perception that a saving can be made when prices have actually increased.

MSE CEC also offers a simple 12 months on present tariff compared to 12 months on the new tariff comparison.

Remember, when making any comparison ignore £s and use kWhs/year for gas and electricity.

phillw

Niemand wrote: »

So why does Cheap Energy Club say £67 pm when I'm paying £107.85 pm?

I'm not sure the annual statement is for 12 months, they sent mine out with march to january usage.

Also they probably have started taking a higher DD early to build up a buffer based on the standard rate tariff that you will go on if you do nothing.

beansy

c_smith wrote: »

Agree with AsavvyBuyer re using usage in kwh in your comparisons, it's much more accurate. Personally, if it were me, I'd go for the slightly longer Fix with the slightly cheaper Scottish Power. I doubt energy prices will come down significantly (if at all) over that period.

Remember to check the comparisons for separate gas and electricity suppliers too, don't just assume dual fuel will be cheaper.

Thanks to all for your helpful replies.

My figures were based on kwh comparison but I will now do a comparison on separate gas and electricity supplies as suggested before putting it to my son for his approval.

I will also update my findings on this thread.

:beer:

beansy

beansy wrote: »

Thanks to all for your helpful replies.

My figures were based on kwh comparison but I will now do a comparison on separate gas and electricity supplies as suggested before putting it to my son for his approval.

I will also update my findings on this thread.

:beer:

Did a quote for separate gas & electricity supplies and it came out £10 dearer.

Think he will go for the dual fuel S.Power 24 mth deal. Thank you all for your advice.
:T