To fix or not to fix with this offer

DayTripper1984

My current fix with Scottish Power ends on 28th Feb and my current annual use for Gas and Electric is £857 (£71 per month), when that expires I move onto their standard variable, which is currently predicting a cost of £1,144 a year, but if I factor in the 1st April 54% increase on that, then that brings it to £1,784.

The one year fix Scottish Power have offered me is £1312 (£109 per month) - this to me sounds like a good deal, considering the April price rise for the standard variable and the projected October rise too.

What are your thoughts, is this one to fix to?

Some stats:

Current Gas usage: 10,104 kWh

Current Electricity usage: 2,427 kWh

Gas Standard Variable unit rate price from 1st March: 4.197p per kWh

Gas Standard Variable Standing Charge from 1st March: 26.11p per day

Elec Standard Variable Unit rate price from 1st March: 21.607p per kWh

Elec Standard Variable Standing Charge price from 1st March: 25.66p per day

1 Year Fix gas unit rate price: 7.31p per kWh

1 Year Fix gas Standing Charge price: 22.20p per day

1 Year Fix Elec unit rate price: 28.34p per kWh

1 Year Fix Elec Standing Charge price: 22.33p per day

Exit fees of £30 for each

Verdigris

Direct debit amounts are meaningless, on their own. You need you actual (not estimated) annual usage in kWh, and the daily charge, kWh price and exit fees, to see if it is better than the SVT cost.

DayTripper1984

Verdigris said:

Direct debit amounts are meaningless, on their own. You need you actual (not estimated) annual usage in kWh, and the daily charge, kWh price and exit fees, to see if it is better than the SVT cost.

Current Gas usage: 10,104 kWh

Current Electricity usage: 2,427 kWh

Gas Standard Variable unit rate price from 1st March: 4.197p per kWh

Gas Standard Variable Standing Charge from 1st March: 26.11p per day

Elec Standard Variable Unit rate price from 1st March: 21.607p per kWh

Elec Standard Variable Standing Charge price from 1st March: 25.66p per day

1 Year Fix gas unit rate price: 7.31p per kWh

1 Year Fix gas Standing Charge price: 22.20p per day

1 Year Fix Elec unit rate price: 28.34p per kWh

1 Year Fix Elec Standing Charge price: 22.33p per day

Exit fees of £30 for each

Verdigris

As you're a bit below the mythical "average user" the lower daily charge is attractive and the kWh charge isn't excessive, compared to the April cap prices.

DayTripper1984

Verdigris said:

As you're a bit below the mythical "average user" the lower daily charge is attractive and the kWh charge isn't excessive, compared to the April cap prices.

Ok, so would you suggest switching to the fix might be wise?

If I were to stay on the standard variable, based on my current usage, it is predicting a cost of £1,144 a year, but if I factor in the 1st April 54% increase on that, then that brings it to £1,784; whereas the fix would be £1,312.

Verdigris

Well, I'm not a financial advisor but I have just made a financial investment based on energy prices not easing, in the medium term, at least.