British Gas fixed deal

HHEELLEENN

My fixed deal with British Gas expires on 31 October. I have been offered a new fixed rate until 30 November 2022 at £1,480 which is £200 above the price cap. Should I accept this? I have only 6 days left to decide! Not sure if it is a good deal or not? 

Aylesbury_Duck

It's up to you, but personally I'd go onto the variable tariff and re-assess in the spring.  If you can afford that fix and need the certainty of price for 12 months, go for it.

bristolleedsfan

HHEELLEENN said:

. Should I accept this? I have only 6 days left to decide! Not sure if it is a good deal or not? 

Post Standing Charge and kwh rates

savers_united

If your using less than an average user you will find that price quoted by BG will be more than £200 above the price cap. 

HHEELLEENN

I'm on a duel fuel contract at the moment, annual cost £1,093. To go on the standard variable rate the standing charge for gas is 26.123p per day and unit rate 4.053p per kwh. The standing charge for elec is 24.038p and unit rate 21.557p. So this is the minimum. The Nov 2022 rates I've been quoted are gas 25.575p and 5.112p and elec 23.490p and 24.661. I can't decide if it's worth fixing at £200 above the price cap now if come April the price cap rockets by £400 or £500 as everyone is speculating. I know Martin Lewis says to do nothing but is this a gamble worth doing? I don't know!

worrywart_3

The price cap isn’t fixed it’s a unit price so your not looking at it right you need to look at your usage 

spot1034

HHEELLEENN said:

I'm on a duel fuel contract at the moment, annual cost £1,093. To go on the standard variable rate the standing charge for gas is 26.123p per day and unit rate 4.053p per kwh. The standing charge for elec is 24.038p and unit rate 21.557p. So this is the minimum. The Nov 2022 rates I've been quoted are gas 25.575p and 5.112p and elec 23.490p and 24.661. I can't decide if it's worth fixing at £200 above the price cap now if come April the price cap rockets by £400 or £500 as everyone is speculating. I know Martin Lewis says to do nothing but is this a gamble worth doing? I don't know!

Nor does anyone else, but the factors which have pushed up prices will very likely be easing by then, which could trigger a significant drop in wholesale prices and therefore some more attractive fixes will be on offer. Even if this does not happen, you will probably use the bulk of your energy during the next six months so do some sums with your expected summer usage at those higher prices you are speculating about, and work out whether you would be materially worse off than if you took that fix and paid the higher prices all year.

HHEELLEENN

Thanks so much for your reply spot1034. You have made some really good points! Didn't think about the bulk of the energy usage being until April. That makes a lot of sense so yes I will get out my old bills and work it out. Thank you! :-)