Advice on Shell's tariff offer to me

Kostandia

Hello! My Shell fixed tariff expires on 31 March. Shell is now offering me one new tariff only, which is a variable obviously. But this new tariff says "Rates for this tariff will change on 1st April in line with Ofgem price cap". So I'm a bit puzzled about what to do.  Should I switch to this tariff on 31 March? Or wait to see what they offer near/on 31 March? I understand they can't go over the Ofgem price tariff. But I'm unsure whether to act on their new variable tariff or just leave my current tariff to expire and do nothing. Advice welcome please! Kiki

QrizB

Welcome to the forum.

There's nothing to gain by switching away from your current fix before it ends; when it does, you'll roll onto the variable tariff anyway.

(As far as I'm aware, Shell are only offering their variable rate at the moment.)

Kostandia

Thank you! It seems strange that many are offering tariffs if there is no point. That's a bit worrying that people may not be understanding fully and duped into higher than Ofgem caps. 

MWT

Kostandia said:

Thank you! It seems strange that many are offering tariffs if there is no point.

The point is that some people prefer the certainty of knowing what they will be paying for the next year or two, and will pay a little extra for that at the moment when so much is uncertain...

For example, if Russia invade the Ukraine and then threaten to  turn off the gas supply to discourage help from Europe the prices will go nuts again and these fixed price deals may end up looking good...