Deemed contract? (am I one of the few that SHOULD switch either company or rate within same company)

Slumbershade

Am on this atm apparently. considering the news to not switch energy provider, is this relevant here? probably not, thought id ask though, letter says I can choose a fixed tariif

Ectophile

The way the Gas Act and Electricity Act are written, the moment you move into a property and start using gas or electricity, you are automatically a deemed cusromer of the existing company.  You will be on their standard variable rate.

You can switch to a fixed tariff if you wish.  You can switch to a fixed tariff with another provider if you wish, but make sure you have an account open with the existing supplier first.  But do the sums and see if you will be getting fleeced on a fixed contract.

Slumbershade

Lawrence said that almost everybody should stay on their current tariff atm, just wondering whats best for me. If the price of the electricity can change at any moment, id have to check with them every day what the damn price is right? So the best thing for me is to move to one of their variable rates, if I moved to a different company wont i get a huge increase from what lawrence has said?

molerat

Slumbershade said:

Lawrence said that almost everybody should stay on their current tariff atm, just wondering whats best for me. If the price of the electricity can change at any moment, id have to check with them every day what the damn price is right? So the best thing for me is to move to one of their variable rates, if I moved to a different company wont i get a huge increase from what lawrence has said?

The deemed rate for a domestic tariff will be at the OFGEM capped rate unless the supplier is one of the green energy suppliers who are exempt.  Whoever you are with though the rate will not be changing daily or even monthly.

Slumbershade

molerat said:

Slumbershade said:

Lawrence said that almost everybody should stay on their current tariff atm, just wondering whats best for me. If the price of the electricity can change at any moment, id have to check with them every day what the damn price is right? So the best thing for me is to move to one of their variable rates, if I moved to a different company wont i get a huge increase from what lawrence has said?

The deemed rate for a domestic tariff will be at the OFGEM capped rate unless the supplier is one of the green energy suppliers who are exempt.  Whoever you are with though the rate will not be changing daily or even monthly.

the letter says the deemed rate can change? are you saying it makes no difference if i either switch company or switch  to the normal variable whatever its called within the same company? Thanks, I thought that switching company took us above the cap atm and that the energy switch club was not recommending any moves due to this?

Verdigris

the letter says the deemed rate can change?

The deemed rate is the same as the Ofgem SVT capped rate. It changes in April and October every year (possibly more frequently in future). That will remain the case, as long as you do nothing. If you change to a fixed tariff with the same supplier, or change to another supplier, you won't be entitled to stay on, or move to, the capped rate.

In other words, only jump when you are certain you are really getting a better deal.