Fixed price deal tariff being increased

victor2

From the evidence provided in this thread, it appears that Octopus made people believe it was a fixed rate tariff when there was no intention that it would be. If I were caught up in this, I would expect them to honour it, even if that means keeping people on the now variable tariff but crediting them for the extra costs incurred. How and when they'd apply that credit would be open to suggestion from Octopus, but given their reputation for good customer service, I'd expect them to reach a satisfactory solution for the affected customers.

Of course Octopus are a little busy at the moment, importing the details for over 1/2 a million ex-Avro customers, but I don't see how they can brush this aside.

MWT

victor2 said:

From the evidence provided in this thread, it appears that Octopus made people believe it was a fixed rate tariff when there was no intention that it would be.

I think we are still a bit short of that position as we do know that all the material on their website made it clear that it was a tariff fixed at a certain amount below the variable Ofgem cap, so the published pre-contract information does not represent that it is a fixed and unchanging tariff.

We know that post-contract information wrongly states that it is a fixed tariff with no variation during the period.

The hole in the middle is that we don't have a transcript of a phone call where a customer was 'sold' the 'Promise' tariff, didn't see the website details and had it described to them as simply 'fixed' without a reference to the link to the Ofgem cap, that would be the 'smoking gun'.

gefnew

Here is a list of their tariffs.

Compare Octopus Energy electricity and gas prices (energylinx.co.uk)

Krzysj

Hello all! Exactly the same issue here with the same tariff. Brother helped my dad switch to fixed tariff (brother works in industry and knows what he’s doing). Welcome pack (contract info) states fixed tariff which I checked at the time. 

This week price increase notification. I’m afraid this is breach of contract imo and have advised octopus they must honour this pricing until Sep 2023. I’ll Pursue to ombudsman otherwise.
the pre contract info isn’t available any more so it’s our word vs theirs. But the fact the welcome pack says fixed - is written down - and you can’t argue with that. 

savers_united

The question I guess is how do Octopus put this right, do they just offer options to those who contact them or having now been alerted to this error are they obliged to contact all customers affected and offer them the options whether they make contact or not.
By offering to fix at the August rates they are admiting to an error on the welcome pack, you may get customers who only pick up on this 12 months down the road and could by that point be seriously out of pocket compared to someone who has been offered an August fixed rate. 

MWT

savers_united said:

The question I guess is how do Octopus put this right, do they just offer options to those who contact them or having now been alerted to this error are they obliged to contact all customers affected and offer them the options whether they make contact or not.
By offering to fix at the August rates they are admiting to an error on the welcome pack, you may get customers who only pick up on this 12 months down the road and could by that point be seriously out of pocket compared to someone who has been offered an August fixed rate. 

It is an interesting question, but it would not be appropriate to offer the option to the many who read the tariff details and switched to the tariff in the full knowledge of how it was intended to work.

The error in the 'Welcome Pack' doesn't in and of itself change the contract that was entered into, it is a mistake and can be corrected with a new welcome pack. Just like an error stating a tariff was variable when it was actually fixed, the error doesn't change the contract.

The people who should be getting the option to change are those who entered into the contract without being informed that is was going to vary in line with changes in the cap...

How you identify those without them self-identifying is the question...

savers_united

MWT said:

savers_united said:

The question I guess is how do Octopus put this right, do they just offer options to those who contact them or having now been alerted to this error are they obliged to contact all customers affected and offer them the options whether they make contact or not.
By offering to fix at the August rates they are admiting to an error on the welcome pack, you may get customers who only pick up on this 12 months down the road and could by that point be seriously out of pocket compared to someone who has been offered an August fixed rate. 

It is an interesting question, but it would not be appropriate to offer the option to the many who read the tariff details and switched to the tariff in the full knowledge of how it was intended to work.

The error in the 'Welcome Pack' doesn't in and of itself change the contract that was entered into, it is a mistake and can be corrected with a new welcome pack. Just like an error stating a tariff was variable when it was actually fixed, the error doesn't change the contract.

The people who should be getting the option to change are those who entered into the contract without being informed that is was going to vary in line with changes in the cap...

How you identify those without them self-identifying is the question...

It does seem to be the welcome pack that customers feel misled with, on the back of that evidence Octopus are offering the options.

If they send out an email / letter to all those on the tariff to clarify its not a fixed tariff and it was a typo on the welcome pack, then wait for those who kick off to get in touch and deal with them 1 by 1. At least that way they are acknowledging that wrong information was sent out in the welcome pack but that the pre contact info would of stated it was a variable contract, it's then for the genuine customers to prove they were also given incorrect pre contract info. 

My parents as an example did the switch of tariff over the phone on the advice of CS agent of it being the best rate at the time and offered at a guaranteed rate.

I was not privy to that call, so not sure what was said but they felt it was fixed for a period, have always had a fixed tariff so find it hard to see why they would have accepted a variable tariff.

They have never received any welcome pack as existing customers, not even an email confirmation of new tariff and terms.

Not sure where they stand and if they should make contact with Octopus now or wait and see how things develop. 

MWT

savers_united said:

They have never received any welcome pack as existing customers, not even an email confirmation of new tariff and terms.

Not sure where they stand and if they should make contact with Octopus now or wait and see how things develop. 

I've always found Octopus to be fair and reasonable with genuine issues, so I would suggest they reach out and say they were surprised to get the increase notification as they believed the tariff they were offered during a phone call was fixed and they did not receive any information post-contract to suggest otherwise...

P-J-D_2

I don't understand this "pre contract" talk. 

A contract is a contract.

Fixed unit rates and with dates - it's there in black and white.

worrywart_3

Any update original poster please have you spoken to octopus ?