Worth changing to another supplier?

M8DSJ

Hi, I am just coming off a fix with Eon Next onto their standard rate on June 12th. This will increase my payments monthly from £64.72 to £124.88. Martin mentioned that he thought that suppliers are increasing monthly payments for those coming off competitive fixes to their standard rate, effectively to penalise them for the benefit they have enjoyed. Because of that does anyone think it's work changing my energy supplier and going on to their standard rate (not a fixed rate), so that as a new customer my monthly payments might be less than Eon's?

Gerry1

Welcome to the forum.

Unless you have E7 electricity where there is some variance, the capped tariffs will be virtually identical whichever supplier you are with, so there's no point in switching.  In any case, probably only EDF or Octopus would accept you.

If you don't want any credit building up then you can consider switching to Variable Direct Debit, but of course this would mean lower amounts collected in summer and higher ones in winter.

M8DSJ

Thanks very much Gerry?,

Yes, I didn't know if they were all similar. It's just that Martin said that if you were changing from a fixed rate they might charge you more when you go over to the standard rate than if you weren't on a fixed rate before.

Thanks again,

pochase

Nobody is penalising you, there is exactly one SVT per supplier. You are going to feel it more coming from a fixed rate, but that is completely subjective.

Can you please link to any claim that people coming from a fixed rate pay more otherwise?

[Deleted User]

M8DSJ said:

Hi, I am just coming off a fix with Eon Next onto their standard rate on June 12th. This will increase my payments monthly from £64.72 to £124.88. Martin mentioned that he thought that suppliers are increasing monthly payments for those coming off competitive fixes to their standard rate, effectively to penalise them for the benefit they have enjoyed. Because of that does anyone think it's work changing my energy supplier and going on to their standard rate (not a fixed rate), so that as a new customer my monthly payments might be less than Eon's?

Over the past 12 months, there have been two increases to the Ofgem-capped tariff rate with a further increase due in October. Hardest hit DD payment wise will be consumers coming off ‘cheap’ fixed tariffs. That said, monthly payments are meaningless in terms of what you will pay for the energy that you consume. The cost of energy depends solely on the amount that you use and the tariff that you are on. The only penalty that suppliers apply to a standard tariff (or any tariff for that matter) relates to the method of payment: DD payments tend to attract a slightly reduced charge.