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Overwhelmed & Confused

4 replies 96 views
CinnamongirlCinnamongirl Forumite
25 posts
Part of the Furniture 10 Posts Combo Breaker
Okay, I have been putting of changing my gas & electricity supplier for so long it's ridiculous! Every time I go and check what's available with comparison sites, there is so much choices that I get overwhelmed and confused by them. I've decided once and for all that I just need to wade through what's available but I need some help . I am with British Gas Standard (I know!) and have been informed that from April there will be price changes. What I need to know is if the majority of suppliers are following suit with this? and is it the best time to switch now or wait until April to then make a decision? If now is the best time, would a fixed tariff be best and would that be void of any price increases throughout the year? I know my yearly kWh energy rates just need to be steered in the right direction. Help me MSE's, you're my only hope! 

Replies

  • UnclaimedEnergyUnclaimedEnergy Forumite
    436 posts
    100 Posts First Anniversary Name Dropper
    ✭✭
    The only prices which are definitely changing are those connected with the price cap.

    If you choose a fixed tariff then the rates you have are locked in for the length of your contract (normally 12months). 
    Some variable tariffs in the market aren't linked to the price cap, however these can be increased at any point by the supplier (normally with a months notice).

    My recommendation would be to go with the cheapest fixed tariff that doesn't have an exit fee, for two reasons:
    1. If the market rises while you're on your fixed, you aren't affected as your rates stay the same
    2. If the market falls, not having an exit fee means you can switch to a cheaper tariff without any penalty.
    Currently wholesale prices are the highest they've been since 2018 and energy prices have followed this change.

    Avro Energy and Outfox the Market have the cheapest £0 exit fee tariffs, So Energy can also be a consideration with a £10 exit fee.

    If you get confident enough looking at Dual Fuel, then you can also try looking at splitting your suppliers to try and get further savings and having separate Elec and Gas suppliers. However if even the thought of this is too much then don't worry about even comparing these.

    The above is my opinion on how I approach the market (based on current times) and other people here will say different things (some people will advise to go for a variable as even though it could be increased, you can still leave without any exit fee).
  • FarwayFarway Forumite
    9.6K posts
    Part of the Furniture 1,000 Posts Name Dropper Photogenic
    ✭✭✭✭
    Best time is now, no one can tell where prices will be in the future and some tariffs vanish overnight, one thing you can do is look for one without penalty for leaving, they do exist, or as some find it is cheaper to pay up and move than stick with it, but you have to do your own sums

    Fixed price [tariff] means just that, fixed for the period contracted for, which applies to you as well as them, hence the penalty for leaving early
    You need to know your annual Kw energy use, not the rates, the comparison sites will do the sums for you
    Sometimes [often] it is cheaper to have separate suppliers for Gas & Electric, counter intuitive but true, check this as well as dual fuel
    Ignore headline "We can save you  £1000 by switching", compare your outgoing now with forecast outgoing after switch, but only if you use the correct annual Kw inputs, no point in trying to cheat your self

    Once you find one or two, have a search & read of the forum to see any reviews by real ,people on MSE, some folk go for cheap regardless, others like big firm security, you will have to decide where you fit
  • CinnamongirlCinnamongirl Forumite
    25 posts
    Part of the Furniture 10 Posts Combo Breaker
    The only prices which are definitely changing are those connected with the price cap.

    If you choose a fixed tariff then the rates you have are locked in for the length of your contract (normally 12months). 
    Some variable tariffs in the market aren't linked to the price cap, however these can be increased at any point by the supplier (normally with a months notice).

    My recommendation would be to go with the cheapest fixed tariff that doesn't have an exit fee, for two reasons:
    1. If the market rises while you're on your fixed, you aren't affected as your rates stay the same
    2. If the market falls, not having an exit fee means you can switch to a cheaper tariff without any penalty.
    Currently wholesale prices are the highest they've been since 2018 and energy prices have followed this change.

    Avro Energy and Outfox the Market have the cheapest £0 exit fee tariffs, So Energy can also be a consideration with a £10 exit fee.

    If you get confident enough looking at Dual Fuel, then you can also try looking at splitting your suppliers to try and get further savings and having separate Elec and Gas suppliers. However if even the thought of this is too much then don't worry about even comparing these.

    The above is my opinion on how I approach the market (based on current times) and other people here will say different things (some people will advise to go for a variable as even though it could be increased, you can still leave without any exit fee).
    Thank you! I will definitely have a look at splitting suppliers and check out your suggestions. 
  • CinnamongirlCinnamongirl Forumite
    25 posts
    Part of the Furniture 10 Posts Combo Breaker
    Farway said:
    Best time is now, no one can tell where prices will be in the future and some tariffs vanish overnight, one thing you can do is look for one without penalty for leaving, they do exist, or as some find it is cheaper to pay up and move than stick with it, but you have to do your own sums

    Fixed price [tariff] means just that, fixed for the period contracted for, which applies to you as well as them, hence the penalty for leaving early
    You need to know your annual Kw energy use, not the rates, the comparison sites will do the sums for you
    Sometimes [often] it is cheaper to have separate suppliers for Gas & Electric, counter intuitive but true, check this as well as dual fuel
    Ignore headline "We can save you  £1000 by switching", compare your outgoing now with forecast outgoing after switch, but only if you use the correct annual Kw inputs, no point in trying to cheat your self

    Once you find one or two, have a search & read of the forum to see any reviews by real ,people on MSE, some folk go for cheap regardless, others like big firm security, you will have to decide where you fit
    Thank you! Sorry, I meant I know my annual usage not rates. Will also look into separate suppliers.
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