Don't understand the energy price cap thing

Sncjw

Hi all

I dont understand the energy price cap situation. 

So I'm on a fixed deal for gas and electric with EDF until October 2024.
My unit rates
Electricity unit rate: 24.81p per kWh
Daily standing charge: 26.46p per day

Gas unit rate: 5.463p per kWh
Daily standing charge: 26.12p per day

So I read Martin Lewis thing that people on fixed tarrjf could pay more. 

I am. Paying 64 quid a month into the account and yet to have my first bill and it's billed 6 monthly. We are in credit by 256 quid. 

Have we got an OK deal? 

Flight3287462

Yes       .

QrizB

Sncjw said:

Have we got an OK deal? 

Yes, yes, yes.

Sncjw

Thanks  why is it an OK deal? 

BUFF

because the unit rates that you have fixed for until October 2024 are lower than the rates that have been announced for the SVT cap from April 1st. & that is before another potential rise to SVT in October .

Sncjw

So why was Martin saying not to fix. I personally chose to fix and move from. Bulb before they closed  because I wanted to know my budget 

QrizB

Sncjw said:

Thanks  why is it an OK deal? 

Everything about your rate will be cheaper from April, and it's fixed to October 2024.

• Your electricity rate is 24.81p/kWh. The typical rate on the April cap is 28p.kWh. Yours is cheaper.
• Your electricity standing charge is 26.46p/day. The typical capped rate from April is 45p/day. Yours is cheaper.
• Your gas rate is 5.463p/kWh. The typical capped rate from April is 7.4p/kWh. Yours is cheaper.
• Your gas daily charge is 26.12p/day. From April the typical capped rate is 27.2p/day. yours is cheaper.

TheMilkmansDad

Sncjw said:

So why was Martin saying not to fix. I personally chose to fix and move from. Bulb before they closed  because I wanted to know my budget 

Martin says not to fix in to a new deal.As your already on a fix (and a good one at that!) that doesn't apply to your situation.

Sncjw

TheMilkmansDad said:

Sncjw said:

So why was Martin saying not to fix. I personally chose to fix and move from. Bulb before they closed  because I wanted to know my budget 

Martin says not to fix in to a new deal.As your already on a fix (and a good one at that!) that doesn't apply to your situation.

I  got this deal when bulb was on the brink of collapsing and even then he said not to fix. 

PennineAcute

Sncjw said:

TheMilkmansDad said:

Sncjw said:

So why was Martin saying not to fix. I personally chose to fix and move from. Bulb before they closed  because I wanted to know my budget 

Martin says not to fix in to a new deal.As your already on a fix (and a good one at that!) that doesn't apply to your situation.

I  got this deal when bulb was on the brink of collapsing and even then he said not to fix. 

For most people, it was best to go onto the SVT when their tariff ended, or when they got moved due to their previous company going bust.  This was because the increase in prices came during the winter period and when more energy would be used by people.

So you yourself would be paying more than other people on the SVT.  If the difference you were paying was small, then the savings you will make over April - September could be greater than the cost between Oct 21 and March 22. 

I switched when Martin said do nothing.  I should be around £50 better off than if I had listened to him.  Most people would not have been.

Peter999_2

You've done well there Sncjw, in the current climate that is a damn good deal (there will probably be another rise in October).

Don't forget that Martin isn't always right but does usually give advice in good faith which is way more often right then wrong.  I'd have fixed myself if it wasn't for the fact I've got an electric car charger (V2G) which means I can't switch until May when I finally own the charger.

Honestly, give yourself a pat on the back for making a very good choice.