Gas and electric help

phill2-0-0-3

Hi 

I'm looking for advice . 
My current energy supplier outfox the market . 
I was paying around £1600 for my gas and electric for 1 year . 
Gas21544
Elec6515
So around £150 a month . 
Just been informed my contract is ending and the new fixed contract is £438 a month and that's not building up credit like previously . 
Money is allready very stretched . 
Any advice much appreciated 
I saved £500 credit to help over Christmas . I thought this was good untill I got this email 

Many thanks 

[Deleted User]

Hi,

seems best advice is to default to the 'capped' tariff for now, fixed until April, no good deals going just now,

Have a read HERE.

QrizB

phill2-0-0-3 said:

Any advice much appreciated 
I saved £500 credit to help over Christmas . I thought this was good untill I got this email

You're a relatively high user of energy, 21500kWh of gas is almost 2x the average and 6500kWh of electricity is more than 2x the average.

On the current Ofgem capped variable tariff, that consumption would cost around £2400 per year, £200 per month.

For comparison, I've just got a quote from Outfox The Market and they are offering me:

Tariff name: Fix'd X 21 30.0. Tariff type: Dual Fuel Only - Fixed. Payment method: Direct Debit. Electricity unit rate: 40.575p per kWh. Electricity standing charge: 22.718p per day. Gas unit rate: 11.400p per kWh. Gas standing charge: 26.136p per day. Exit fees: £50.00 per fuel. Tariff Term:> 12 months

At those rates, your consumption would cost £5200, £430/month - which ties up with your quote.

You should not agree to a new fix and should instead revert to the capped standard variable tariff, as frugalmacdugal suggests.

wild666

I wouldn't put it past them to move you to the new tariff as soon as your fixed rate ends. Check your rates as soon as possible when your tariff ends.

littlemoney

You could also reduce your consumption which is very high, e.g. turn down the thermostat, If you feel chilly put on a jumper not turn up the heating, etc

phill2-0-0-3

I've gone into the variable rate tariff for now until april . But I can see in April it increasing again to meet inline with the price increase . 
I have moved back in with my parents and build a bit exstention all around . So this would be why we use a lot of gas electric . We all chip in for the bills . But going from £130 pm . To £438 is just a unreal amount . 
We are looking into solar panels ect . But I don't think it's worth the outlay cost . We did want a hot tub aswell when the house is completed . But I don't think this would be a good option with costs of fuel at present .

QrizB

phill2-0-0-3 said:

But going from £130 pm . To £438 is just a unreal amount .

If electricity really does rise from 20p/kWh to 40p/kWh and gas from 4p/kWh to 11p/kWh (which are the rates OTM quoted) then quite a lot of people are going to be in financial trouble.

The often-quoted "average" user currently on £1277/yr (£107/month) would find themselves on something like £2700/yr (£225/month).

One definition of fuel poverty is when you need to spend 10% of your income on fuel. With median household income being just shy of £30k, an annual energy bill of £2700 would put something like 40% of UK households in fuel poverty.

Swipe

phill2-0-0-3 said:

We did want a hot tub aswell when the house is completed . But I don't think this would be a good option with costs of fuel at present .

I can see a lot of hot tub companies going out of business in April

wild666

QrizB said:

If electricity really does rise from 20p/kWh to 40p/kWh and gas from 4p/kWh to 11p/kWh (which are the rates OTM quoted) then quite a lot of people are going to be in financial trouble.

40p per kWh I would be online less and go out more even if just to go around shops and buy nothing. Gas at 11p per kWh I would turn the heating down to 17 degrees, maybe 16 and use a hot water bottle more often.
My predicted usage on electric is around £400 and gas at around £190, at 40p the electric would be around £700 and gas around £300 nearly double what I'm paying now.

phill2-0-0-3

littlemoney said:

You could also reduce your consumption which is very high, e.g. turn down the thermostat, If you feel chilly put on a jumper not turn up the heating, etc

We have a new born baby and at the weekend 4 other children . My parents are also here who are retired . But where they go has a seperate heating system for there part . 
The current boiler is about 20 years old if not older . 
Will get a new combi boiler soon as thus one rarly works . Wake up freezing . 

phill2-0-0-3

QrizB said:

phill2-0-0-3 said:

But going from £130 pm . To £438 is just a unreal amount .

If electricity really does rise from 20p/kWh to 40p/kWh and gas from 4p/kWh to 11p/kWh (which are the rates OTM quoted) then quite a lot of people are going to be in financial trouble.

The often-quoted "average" user currently on £1277/yr (£107/month) would find themselves on something like £2700/yr (£225/month).

One definition of fuel poverty is when you need to spend 10% of your income on fuel. With median household income being just shy of £30k, an annual energy bill of £2700 would put something like 40% of UK households in fuel poverty.

wild666 said:

QrizB said:

If electricity really does rise from 20p/kWh to 40p/kWh and gas from 4p/kWh to 11p/kWh (which are the rates OTM quoted) then quite a lot of people are going to be in financial trouble.

40p per kWh I would be online less and go out more even if just to go around shops and buy nothing. Gas at 11p per kWh I would turn the heating down to 17 degrees, maybe 16 and use a hot water bottle more often.
My predicted usage on electric is around £400 and gas at around £190, at 40p the electric would be around £700 and gas around £300 nearly double what I'm paying now.

Current me and my partner's income is around the 25'000 mark due to hours being cut . 
And we're still renovating the house due to a error that's cost me a additional around 25'000 and a extra year of work . 
So this couldn't come at a worse time . 
I guess will all be in the same boat . I think I will go for one of the wood burning hot tubs in the future if I ever have the finases for it 🤣