Switching provider from Fixed to another provider on Standard Variable Rates

ascarr74

I'm currently nearing the end of my Fixed Rate Dual Fuel with British Gas.  They have offered me a 2 year fixed (no exit fees) which I've calculated to cost me around £100  more (between April and Sept) than going to the Std Variable Rate at the beginning of April.  Given recent discussions and the adice re moving to a fixed if no more than 25% above the Std Variable I'm thinking it rates increase again in Sept it might be worth going for it.  

What I don;t understand hower is if I fix in April for 2 years and then rates drop whilst I can exit without any fees, will any other suppliers want to tae me on at the Std Tarrif?  British Gas clearly wouldn't but what do we think the other providers position would be?

Gerry1

EDF will accept you on the SVT but only if you phone them.

jimexbox

From my eon fixed tariff terms and conditions..

2.3. Ending your contract with us

You can arrange to switch to another tariff (or supplier) whenever you like. We may object if you owe us money. If your tariff has an end date, we might charge you a fee, known as an exit fee, if you switch more than six weeks before that date. Your confirmation letter will tell you about this.

I can switch to another eon tariff at anytime. Should be in your T&C. 

meat_n2_reg

I would be interested in which 2 year British Gas fix you are going for and what tariff name is please ?

I was offered a 2 year fix called "Exclusive Fixed Energy v12" which works out as approx. 20% more than Aprils increased standard rate which seems a fair deal ,  but was told that there was a £100 per fuel exit fee 

Regards Steve

Ultrasonic

In another recent thread it was suggested that going from fixed to variable with the same supplier should be possible but I'd check the specific contract terms to be sure.

ascarr74

meat_n2_reg said:

I would be interested in which 2 year British Gas fix you are going for and what tariff name is please ?

I was offered a 2 year fix called "Exclusive Fixed Energy v12" which works out as approx. 20% more than Aprils increased standard rate which seems a fair deal ,  but was told that there was a £100 per fuel exit fee 

Regards Steve

Exclusive Fixed Energy v8 is the one I have been offered.

ascarr74

Ultrasonic said:

In another recent thread it was suggested that going from fixed to variable with the same supplier should be possible but I'd check the specific contract terms to be sure.

Going from Fixed to variable is possible with the same supplier at he end of your fixed term.  What I'm suggesting is switching from a zero exit fee fixed tarrif to Standard variable before the contract ends e.g. if the prices drop back before my fixed term ends.  The existing supplier BG have confirmed I can't do that with them.... seems logical but I was looking to see the potential of swapping to a different supplier.  All of this is theoretical predicated on me hedging my bets on  what now looks like a potentially ok deal longer term assuming the September Standard Varibale rate increases again - if it drops then I want a way out of the fixed term deal, the one offered has zero exit fees so as long as I can switch to another operator then the gamble is pretty safe I think.

jimexbox

ascarr74 said:

Ultrasonic said:

In another recent thread it was suggested that going from fixed to variable with the same supplier should be possible but I'd check the specific contract terms to be sure.

Going from Fixed to variable is possible with the same supplier at he end of your fixed term.  What I'm suggesting is switching from a zero exit fee fixed tarrif to Standard variable before the contract ends e.g. if the prices drop back before my fixed term ends.  The existing supplier BG have confirmed I can't do that with them.... seems logical but I was looking to see the potential of swapping to a different supplier.  All of this is theoretical predicated on me hedging my bets on  what now looks like a potentially ok deal longer term assuming the September Standard Varibale rate increases again - if it drops then I want a way out of the fixed term deal, the one offered has zero exit fees so as long as I can switch to another operator then the gamble is pretty safe I think.

So BG would rather lose your custom to another supplier, than drop you to the SVR? You really need to read the terms and conditions of the tariff, rather believe what a rep tells you.

Ultrasonic

ascarr74 said:

Ultrasonic said:

In another recent thread it was suggested that going from fixed to variable with the same supplier should be possible but I'd check the specific contract terms to be sure.

Going from Fixed to variable is possible with the same supplier at he end of your fixed term.  What I'm suggesting is switching from a zero exit fee fixed tarrif to Standard variable before the contract ends 

I understood this and my comment was specific to this situation.

paddyb15

Hi. I recently went from fixed to variable also. I sent an email to my provider but have had no reply. Extremely grateful if anybody could help. Thank you. I'll just post the full email I sent.

I would like to ask a question about the price cap please. The price cap will be £1971 for 12 months usage from April 22. But when there is a higher price cap in 6 months from Oct 22 won't that render the April price cap irrelevant. Or do calculations work on a pro rata basis? Obviously usage will be lower between April & September. 

So if, for instance, I use £2500 over the year Apr 22-Mar23, I will pay the price cap of £1971. But if the price cap rises to say £2600 in Oct does this make the Apr 22 price cap irrelevant as I have used over the original price cap but under the Oct 22 price cap. And then does the same thing apply if the cap goes up again in Apr 23. This is very confusing if a price cap based on a year's usage only applies for 6 months, then rises. I would be grateful if you could you clarify this for me please.

Gerry1

paddyb15 said:

So if, for instance, I use £2500 over the year Apr 22-Mar23, I will pay the price cap of £1971.

Welcome to the forum.

Unfortunately you have misunderstood the price cap.  It's not All You Can Eat: if you use £2500-worth of energy you'll pay £2500, it's simple as that.

Only the kWh rate and daily charge are capped.  The £1971 headline figure is merely what average consumption would cost at the capped rate, and that's only an average figure because rates vary regionally.  Use more than average and you'll pay more than average.