1 year or 2 year fix dilemma

DinoT

I'm trying to work out if I should fix for 1 year or 2 years.  I'm actually working with some older tariffs because my supplier has offered them to me to compensate me for a situation they took a really long time to resolve.  So the tariffs are either 12 months based on the 12 month fixed deal I was on previously (ended May 21) or a 24 month fixed based on what I could have had if I had been able to switch in May 21 (which I couldn't due to the issue).  The question is which is best to do given the trajectory of energy prices over the next few years. They are for green energy.

Electricity
12 month - 13.89 unit and 21.67 standing   or  24 month - 17.91 unit and 23.44 standing

Gas
12 month - 2.14 unit and 17.85 standing or 24 month - 3.13 unit and 21 standing

Love your thoughts.  Thanks!

niktheguru

From those figures I'd def fix for 12 months. You otherwise would get anywhere near those rates and you never know it may be less volatile in a year

QrizB

The 12 month offer is good for electricity and exceptionally good for gas, compared to other current prices, in my opinion.

btr30

So one year at 14p/ KWh and one year at ?p/kWH
or 2 years at 18p/kWj.

if ? stays below 22p/KWh you will be better off on 12 month fix.

if electricity is above 22p/kWh in 12 months time, we will nearly all be bankrupt

Gerry1

Welcome to the forum.

It depends on your consumption of course, but the 12 month deals are absolutely unbeatable, and the 24 month ones are also pretty good, assuming there aren't any crazy exit fees.

It's anyone's guess what will happen and how cold the winters will be, but I'd be tempted to go for the guaranteed savings with the 12 month fix.

In a year's time the longer fix may not be very exciting and may not make up for missing out now.