Fixed or Variable

wookie008

Hi,

Just moved into our first home which is very exciting so sorting out which energy provider to use. I've been looking at Bulb Energy as I've seen they have a really competitive rate (and I like the fact they're green). I noticed their plan is a variable rate, so I thought I'd ask the question in the current climate, is a variable rate the best way to go or would it be safer to be fixed and pay a little more?

Thanks for your help!

Cardew

Often 12 month fixed tariffs are cheaper than variable tariffs. It is the longer 2/3year fixes that are more expensive.

Either way it is a gamble

macman

No one knows. If we did, we would all jump the same way.
A fix is like buying insurance. You know for 12m or more that you will pay no more, even if you find that you could have paid less.

jbuchanangb

Your top priority should be to find out which supplier is currently supplying your new home, contact them and open an account, and tell them the meter readings effective on the date you moved in, and that actual date.

You are in a deemed contract with that supplier, and unless you tell them otherwise, you will be on their standard variable rate.

Having done that, you can consider whether to switch.

Without a year's worth of readings already, it's hard to use comparison sites as there are so many variables.

Perhaps the cautious approach is to ask the current supplier for their 12 month fixed tariff, take that on and then in a year's time do a proper comparison.

Will_at_Bulb

We are confident that wholesale prices are stable, and if anything, going down at the moment. Regardless of the spin that the Big 6 might make, we've just lowered our variable tariff and aren't expecting to raise it any time soon.

Plus, the oil price has literally just crashed. So there's that too. http://oilprice.com/Energy/Oil-Prices/Oil-Prices-Crash-To-Pre-OPEC-Deal-Levels.html

wookie008

Will_at_Bulb wrote: »

We are confident that wholesale prices are stable, and if anything, going down at the moment. Regardless of the spin that the Big 6 might make, we've just lowered our variable tariff and aren't expecting to raise it any time soon.

Plus, the oil price has literally just crashed. So there's that too. http://oilprice.com/Energy/Oil-Prices/Oil-Prices-Crash-To-Pre-OPEC-Deal-Levels.html

Well you worked out the cheapest option for us, so if you keep it that way works for me.