Misleading comparisons?

Telegraph_Sam

Poor workman perhaps but dodgy tools.
a. I don't know how the calculations work in detail other than that the default seems to based on comparisons with standard variable rate which is not applicable (for me). The claimed "savings" are fiction for anyone not on SV rates.
b. If I do nothing I am better off than by switching (though there is not a lot in it compared with the best alternatives)
To me the fact that this procedure seems to have OFGEM's stamp of approval is a scam

PaschalFun

Telegraph_Sam wrote: »

Poor workman perhaps but dodgy tools.

QED.

Telegraph_Sam wrote: »

...
b. If I do nothing I am better off than by switching (though there is not a lot in it compared with the best alternatives)
...

Well don't waste another second of your life over them

Telegraph_Sam

"
I'm not sure how the defualt method of calcualtion can be referred to as a scam when it:
a) is defined bt the regulator
b) you are aware of teh metrhod of calculation
c) it is calculated on the baseis you do nbothing"

On reflection "scam" is perhaps a bit harsh. Considering your 3 points "con" would be more accurate.

SnowTiger

Telegraph_Sam wrote: »

"
I'm not sure how the defualt method of calcualtion can be referred to as a scam when it:
a) is defined bt the regulator
b) you are aware of teh metrhod of calculation
c) it is calculated on the baseis you do nbothing"

On reflection "scam" is perhaps a bit harsh. Considering your 3 points "con" would be more accurate.

What's the issue?

Comparison websites not providing the correct standing charge and kWh charges;

or comparison websites calculating standing charge * 365 + number of kWh * price per kWh incorrectly?

Do you have some examples to share?

Telegraph_Sam

I suspect that the majority of the comparison sites provide reasonably consistent results most of the time though these are rarely identical and I have experienced some inconsistencies. I put these down to differences in input and assumptions re timing and discounts and things.

The issue is rather this: I invite you or any other listener who is motivated, who is not on standard variable rate and has no intention of moving on to standard variable rate, to input your details, and then cross check if the claimed "savings" figure from following one or other of the switches bears any resemblance to reality. As I said, doing this with the Energyhelpline would appear to lead to the new supplier paying me quite considerable £££'s if I was to take the "savings" figure at face value.
If the system cannot be re-programmed to come up with realistic "savings" without jumping through hoops then the obvious conclusion would be to prohibit these claims completely and let consumers come to their own conclusions from studying the tables.

SnowTiger

Telegraph_Sam wrote: »

I suspect that the majority of the comparison sites provide reasonably consistent results most of the time though these are rarely identical and I have experienced some inconsistencies. I put these down to differences in input and assumptions re timing and discounts and things.

The issue is rather this: I invite you or any other listener who is motivated, who is not on standard variable rate and has no intention of moving on to standard variable rate, to input your details, and then cross check if the claimed "savings" figure from following one or other of the switches bears any resemblance to reality. As I said, doing this with the Energyhelpline would appear to lead to the new supplier paying me quite considerable £££'s if I was to take the "savings" figure at face value.
If the system cannot be re-programmed to come up with realistic "savings" without jumping through hoops then the obvious conclusion would be to prohibit these claims completely and let consumers come to their own conclusions from studying the tables.

When comparisons are calculated several assumptions are made.

Two of the biggest are: you'll be transferred to your current provider's standard tariff when your current deal comes to an end; and that you'll take advantage of all offers from your new provider.

The first is mentioned in energyhelpline's FAQ:

How are comparisons calculated?

If you're on a fixed tariff that's coming to an end in the next 12 months, we factor that in as well and calculate your savings based on the unit rates you're currently on as well as the rates you'll be put on when your fixed tariff expires. If you'd rather see a comparison based on your current fixed tariff rates only, that's not a problem - just choose the filter at the top of the results table that says "Re-calculate savings using last year's spend". Remember also, some fixed tariffs have an exit fee if you switch more than 49 days before they end.

None of the energy comparison websites list my specific tariff, however they do list one that's very close.

I've just tapped in my details and the result reflects (more or less) what I currently pay and the calculations seem to be accurate.

Instead of sending us on an energy Easter egg hunt, why don't you provide a few real world examples of the issue(s) you have?

Telegraph_Sam

When comparisons are calculated several assumptions are made.
Two of the biggest are: you'll be transferred to your current provider's standard tariff when your current deal comes to an end; and that you'll take advantage of all offers from your new provider

.
When I input my details I made sure that my selected tariff lasted over a year yet still the "savings" can only have been made by comparison with the SV rate.

Instead of sending us on an energy Easter egg hunt, why don't you provide a few real world examples of the issue(s) you have?

I could re-generate past individual details but I doubt the effort would be worth it. Better that readers input what is relevant to them and see if the claimed stated "savings" stack up in their circs. If they do then that proves that I am wrong. And the contrary.

SnowTiger

Telegraph_Sam wrote: »

.
When I input my details I made sure that my selected tariff lasted over a year yet still the "savings" can only have been made by comparison with the SV rate.

I could re-generate past individual details but I doubt the effort would be worth it. Better that readers input what is relevant to them and see if the claimed stated "savings" stack up in their circs. If they do then that proves that I am wrong. And the contrary.

At least tell us which energy supply you use and which of their tariffs you're on.

Telegraph_Sam

No secret: Tonik Go Green (1 year) v4 which has got a year to run. Elec + gas, monthly D/D, paperless, no Econ 7, DH2 1NA, 7000 kwh gas, 2500 kwh elec.
I seem to remember that the quotes shown on the comparisons were not so far off what I am paying, but the claimed "you can save" figure was from a different planet.
I am quite happy to be proved wrong by the Forum's experience if there's a trick that I am missing.

SnowTiger

Telegraph_Sam wrote: »

No secret: Tonik Go Green (1 year) v4 which has got a year to run. Elec + gas, monthly D/D, paperless, no Econ 7, DH2 1NA, 7000 kwh gas, 2500 kwh elec.
I seem to remember that the quotes shown on the comparisons were not so far off what I am paying, but the claimed "you can save" figure was from a different planet.
I am quite happy to be proved wrong by the Forum's experience if there's a trick that I am missing.

Tonik don't appear to have your tariff listed on their website.

According to energyhelpline and comparethemarket your tariff details are:

Gas Unit Rate: 3.413p per kWh
Gas Standing Charge: 18.82p per day

Electricity Unit Rate: 15.918p per kWh
Electricity Standing Charge: 22.27p per day



Most Tonik tariffs seem to come with a dual fuel discount of £40 a year, which, presumably, is why your annual spend is showing to be £20 less on each fuel than it's calculated to be from the unit and standing charge figures.

Comparison websites show what you'd pay during the next twelve months if you did nothing, compared to what you could pay if you switched.