Cheap energy club recommendations worse than what I'm on?!

purvoid

HI all,

My recommendations were as follows:

You're currently paying £866/yr on your fixed tariff.
Your deal ends on 22 Aug 2022, when you'll pay £1,079/yr.

the recommendations were all way more than even the second price when my deal ends! My top deal:

• Estimated cost

  £105/mo£1,264/yr

• Tariff type

  Fixeduntil 31 Dec 2022

• Saving

  £-373/yrinc cashback

• 
  

As you can see this is £200 more than I would be paying even after my current deal ends.

The negative "saving" is misleading and should be clearer that I would be out of pocket.

Quite honestly I'm astonished to see I'm on the best deal out there.....

 

dillydilly1

its because the cost of energy has gone up everywhere, the 'saving' is a reference to what would happen if you did nothing (unless you're on fixed deal with some time left). Not sure why people get angry, market prices always fluctuate - if any supplier is buncing (making abnormal profits) a new supplier would come in with lower prices. The fact that suppliers are going out of business regularly (see latest PFP) confirms that there is little buncing, except from those households who never switch. My dad for example, eye-watering rates on his gas/elec. "You should switch" I say, "ah, too much hassle" he says...

[Deleted User]

Price comparisons are based on a rolling 12 month cost which assumes that the consumer does nothing at the end of the fixed tariff term. It follows if you make a comparison with one month left on your present tariff then your future cost will be one month on present tariff plus 11 months on standard variable tariff. This usually results in a ‘cost saving’ even if the new fixed tariff costs more than your old one. In your case, the next 12 month cost is based on 11 months on present tariff and one month on the standard variable tariff. Clearly, this ratio changes each month as you get closer to August 2022.

In Ofgem’s defence, some form of mathematical assumption has to be made. Given that you cannot stay on your present fixed tariff then the only known tariff that Ofgem can use is your present supplier’s variable default tariff.

MSE CEC also offers a cost for 12 months on present tariff compared to 12 months on these tariffs comparison. Some people find this useful: others are just interested in the cheapest tariff available and any projected savings are ignored.

purvoid

[Deleted User] said:

Price comparisons are based on a rolling 12 month cost which assumes that the consumer does nothing at the end of the fixed tariff term. It follows if you make a comparison with one month left on your present tariff then your future cost will be one month on present tariff plus 11 months on standard variable tariff. This usually results in a ‘cost saving’ even if the new fixed tariff costs more than your old one.

In Ofgem’s defence, some form of mathematical assumption has to be made. Given that you cannot stay on your present fixed tariff then the only known tariff that Ofgem can use is your present supplier’s variable default tariff.

MSE CEC also offers a cost for 12 months on present tariff compared to 12 months on these tariffs comparison. Some people find this useful: others are just interested in the cheapest tariff available and any projected savings are ignored.

Do you have a link?

purvoid

Don't worry I found it 

greenguppie

purvoid said:

Dolor said:

Price comparisons are based on a rolling 12 month cost which assumes that the consumer does nothing at the end of the fixed tariff term. It follows if you make a comparison with one month left on your present tariff then your future cost will be one month on present tariff plus 11 months on standard variable tariff. This usually results in a ‘cost saving’ even if the new fixed tariff costs more than your old one.

In Ofgem’s defence, some form of mathematical assumption has to be made. Given that you cannot stay on your present fixed tariff then the only known tariff that Ofgem can use is your present supplier’s variable default tariff.

MSE CEC also offers a cost for 12 months on present tariff compared to 12 months on these tariffs comparison. Some people find this useful: others are just interested in the cheapest tariff available and any projected savings are ignored.

Do you have a link?

A link to what?

You are already a member of the Cheap Energy Club, and you appear to be set up on their default of showing what you pay on your current tariff (irrespective of when it ends)

Note that prices are as today. Not even MSE knows what th future holds.
Your price when your contract ends is based on you doing nothing, so your current suppliers default (variable) tariff.

Variable tariffs are currently cheaper than most fixed tariffs, but variable tariffs can go up at any time, and most will do very shortly.

A negative saving is an oncost. Nothing misleading about that, especially when they have also provided the actual figures they are comparing.

hubb

The cheap energy club is all over the place, and not in the least accurate. I am currently on Avro's fixed tariff which ends on Nov 5th, smack bang in the middle of the cold period. 

Thank God we had a multi burning stove fitted this year. Its so efficient.

greenguppie

hubb said:

The cheap energy club is all over the place, and not in the least accurate. I am currently on Avro's fixed tariff which ends on Nov 5th, smack bang in the middle of the cold period. 

Thank God we had a multi burning stove fitted this year. Its so efficient.

In what way is it not accurate?

Unfortunately all comparison sites are currently struggling to keep up with the very latest,  numerous tariff changes by the multitude of suppliers  (and the demise of those suppliers gone bust), especially when every supplier is issuing new tariffs in an attempt to keep pace with ever increasing prices, coupled with all suppliers increasing their SVT as Ofgem has increased the imposed cap.

Also, comparison sites can only update the information if and when the supplier provides it. Unfortunately not all suppliers do provide it, whether by intention or error.

You'll probably find comparison sites are currently concentrating their efforts to ensure the data regarding tariffs they can switch you to (and so in the case of MSE, pay you cashback) is their priority on being up to date.

apt

Anyone  on a good fixed rate with plenty of time left to run is wasting their time looking at price comparison sites. All the alternatives will be more expensive. 

hubb

apt said:

Anyone  on a good fixed rate with plenty of time left to run is wasting their time looking at price comparison sites. All the alternatives will be more expensive. 

Exactly my point. Nowhere to go from here presently. 

Malchester

When using comparisons I always ignore the savings figure because of the way it is calculated. I always think it is wrong to use a figure based on what you would pay if you didn't go for another fix ie just let it roll on. I usually put my tariff in but put an end date for the tariff well ahead. It means comparin say, the next 12 months on what I pay now and what the new tariff would be and not what I might pay against any new tariff.

The important thing is what will you pay compared to what you are paying now.