OCTOPUS ENERGY FIXED TARIFF

burnslor73

I signed up with Octopus in August 2021 on a fixed rate tariff, the contract states the rates are fixed until 30/09/23.  However, I've received an email today saying they're doubling my tariff rates from 1 April.  Can they do this?

QrizB

What is the name of your Octopus tariff?

burnslor73

It's the Helpful Octopus Price Promise July 2021 V1

burnslor73

Rates quoted on the contract are:

Electricity - 17.72p per kWh and 23.78p per day standing charge
Gas - 3.13p per kWh and 25.43p per day standing charge

QrizB

burnslor73 said:

It's the Helpful Octopus Price Promise July 2021 V1

That isn't a fixed price tariff, it's a cap tracker.

See the long thread from October:
https://forums.moneysavingexpert.com/discussion/6304465/fixed-price-deal-tariff-being-increased/p1

This post on page 1 explains it well:

Umiamz said:

No, Octopus Price Promise is a variable tariff, not fixed:

Description

Octopus Price Promise offers great value and 100% renewable electricity. As a variable tariff, your prices can rise and fall with the price cap level as set by Ofgem - but you'll always save compared to the cap. There are no exit fees, and you can switch to a fixed tariff at any time, so if you change your mind, you're in control.

burnslor73

They're trying to put me on the Loyal Octopus 10M fixed March 2022 with the following rates:

Electricity - 27.1425p per kWh and 48.4050p standing charge
Gas - 7.1505p per kWh and 26.5335p standing charge

burnslor73

QrizB said:

burnslor73 said:

It's the Helpful Octopus Price Promise July 2021 V1

That isn't a fixed price tariff, it's a cap tracker.

See the long thread from October:
https://forums.moneysavingexpert.com/discussion/6304465/fixed-price-deal-tariff-being-increased/p1

This post on page 1 explains it well:

Umiamz said:

No, Octopus Price Promise is a variable tariff, not fixed:

Description

Octopus Price Promise offers great value and 100% renewable electricity. As a variable tariff, your prices can rise and fall with the price cap level as set by Ofgem - but you'll always save compared to the cap. There are no exit fees, and you can switch to a fixed tariff at any time, so if you change your mind, you're in control.

The contract states "Tariff type - Fixed" so they've lied to me when they sold me this?

QrizB

burnslor73 said:

QrizB said:

burnslor73 said:

It's the Helpful Octopus Price Promise July 2021 V1

That isn't a fixed price tariff, it's a cap tracker.

See the long thread from October:
https://forums.moneysavingexpert.com/discussion/6304465/fixed-price-deal-tariff-being-increased/p1

This post on page 1 explains it well:

Umiamz said:

No, Octopus Price Promise is a variable tariff, not fixed:

Description

Octopus Price Promise offers great value and 100% renewable electricity. As a variable tariff, your prices can rise and fall with the price cap level as set by Ofgem - but you'll always save compared to the cap. There are no exit fees, and you can switch to a fixed tariff at any time, so if you change your mind, you're in control.

The contract states "Tariff type - Fixed" so they've lied to me when they sold me this?

Read the thread, please.

When you signed up, you will have agreed to the text I've quoted above. It is not and never has been a fixed tariff.

You will have had an increase in October, too; did you not notice that one?

Verdigris

The contract states "Tariff type - Fixed" so they've lied to me when they sold me this?

You signed up to a tariff of which you didn't fully read the T&Cs, is another interpretation.

QrizB

See also https://www.expertreviews.co.uk/home-garden/1414025/octopus-energy-review

Octopus Price Promise

Launched in July 2021, this is the cheapest tariff Octopus currently offers for a customer using a “medium” amount of electricity and gas (2,900kWh of electricity per year and 12,000kWh of gas).

It’s a variable tariff that tracks the Ofgem price cap (the maximum rates a supplier can charge on its default tariffs) until September 2023. As well as including 100% renewable electricity, any gas you use is carbon offset.

Prices are updated in October and April and give medium energy users savings of at least £50 a year if they are dual-fuel customers, compared with how much they would pay at the level of the price cap.

As with all of Octopus’ tariffs, it has no exit fees so you’re free to switch at any time and it’s online only with no paper bills. When you come to the end of your current deal, you’re moved onto Octopus’s cheapest standard tariff, but you should see if you can get a better deal with Octopus or elsewhere at this point.

Verdigris

So at £50 below cap you are quids-in.