MSE News: Energy prices will NOT be capped at £1,137/yr, says Martin

edited 6 November 2018 at 2:35PM in Energy
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  • and yet this article is useless in itself because it doesn't state how or by how much the cap is going to be implemented, despite the information being out there.

    you'd think you'd get your own house in order before trying to rubbish articles on other sites.
  • waveletswavelets Forumite
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    Baptist wrote: »
    ...
    One of the reasons I am trying to work through this issue - is that BULB have mailed to tell me they have decided to increase my payment and at the moment even on a worse / best case scenario I think they have gone at least £10 per month to much. ...

    If you think it's an unfair amount, challenge it
    https://www.moneysavingexpert.com/utilities/lower-energy-direct-debits/

    As indicated above, the price cap which does not come into force until next year probably has nothing to do with the increased payment you are expected to make.

    But perhaps the third price rise this year by your supplier does ;)
  • AnthornAnthorn Forumite
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    newmover wrote: »
    and yet this article is useless in itself because it doesn't state how or by how much the cap is going to be implemented, despite the information being out there.

    you'd think you'd get your own house in order before trying to rubbish articles on other sites.

    That can only be done if everyone without exception uses the same amount of energy. As the article correctly states, it's a cap on rates (prices)and not the total amount that can be charged.

    The information is not "out there" because it doesn't start until next year and what suppliers will do is not clear. At this time we have for example Ebico taking a rather peevish attitude by withdrawing the tariff which would have been subject to the cap and SSE while pointing to the current competition model appears to be complying:
    http://sse.com/newsandviews/allarticles/2018/09/sse-comments-on-the-default-tariff-cap-statutory-consultation/
  • edited 9 November 2018 at 1:46PM
    moleratmolerat Forumite
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    edited 9 November 2018 at 1:46PM
    newmover wrote: »
    and yet this article is useless in itself because it doesn't state how or by how much the cap is going to be implemented, despite the information being out there.

    you'd think you'd get your own house in order before trying to rubbish articles on other sites.
    molerat wrote: »
    https://www.ofgem.gov.uk/system/files/docs/2018/11/default_tariff_cap_level_-_01_january_2019_-_31_march_2019.pdf gives the rates for each area. Still quite a lot of wiggle room for the suppliers to manipulate the SC and unit rates to their benefit as long as the overall cost does not exceed the caps for the specified use. Even if you do have the exact specified use the cap is not that figure quoted as that is an average based on all the different region caps.
    A press article cannot give the full picture without resorting many pages and simply quotes an average of the UK wide caps. The table linked in my above quote gives how much the cap will be in each region and, as I posted, there is plenty of wiggle room for suppliers to set a tariff to best suit their bottom line. If you want to shout at someone it should be OFGEM as they are the ones that produce these broad headline grabbing sound bites.
  • ConsumeristConsumerist Forumite
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    Anyone know whether the rates quoted in the pdf document include VAT or not?
    >:)Warning: In the kingdom of the blind, the one-eyed man is king.
  • EachPennyEachPenny Forumite
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    Anthorn wrote: »
    The information is not "out there" because it doesn't start until next year and what suppliers will do is not clear. At this time we have for example Ebico taking a rather peevish attitude by withdrawing the tariff which would have been subject to the cap and SSE while pointing to the current competition model appears to be complying:
    How is this 'peevish'?

    Ofgem are the one introducing the cap which will have negative consequences for many customers, which means Ebico have to react by changing their tarifs to comply with the capping requirements.

    They have done so using a logical approach - by introducing a cap-compliant tarif and a second tarif which maintains the features of the original non-compliant tarif.

    Customers are being inconvenienced by having to opt in to maintain the same broad charging strategy, but that is thanks to Ofgem and the Government, and is not something Ebico are to blame for.

    No doubt some customers of other companies will be similarly affected once they start making the adjustments required for the new capping regime.
    "In the future, everyone will be rich for 15 minutes"
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