Do I fix?

JoJo24601

Please could someone advise? 

I have been offered the below quotes to fix my tariff.

I am currently paying direct debits of £72.29 per month for Gas (£100.20 in debit at the end of the plan) and £100.00 per month for electricity (£194.28 in debit at the end of the plan).

This is what British Gas are offering me ... please forgive my stupidity but I cannot work out whether this is 30% more than the price cap ... I am already paying £2067.48 per year as it stands...

Can anyone help?

SAC2334

Your monthly quote is not much help. I need  the pence per kwh rate on both gas and electric  and the length of the fix .
mine is currently 27 .25p/kwh electric and 7.25p/kwh on gas, the SV capped 

JoJo24601

Hi SAC2334 does the below help at all? Thank you so much for taking the time to reply.

Jo

QrizB

OK, back-calculating it seems like BG think you use around 15900kWh/yr of gas and 5200kWh/yr of electricity.

On the current SVT that would cost around £2910 a year. Adding 30% would take you to £3780/yr.

The deal you've shared costs £3840/yr, which is more than a 30% increase - but only a little bit more, it's a 32% increase.

It's your decision whether to take it or not.

JoJo24601

QrizB said:

OK, back-calculating it seems like BG think you use around 15900kWh/yr of gas and 5200kWh/yr of electricity.

On the current SVT that would cost around £2910 a year. Adding 30% would take you to £3780/yr.

The deal you've shared costs £3840/yr, which is more than a 30% increase - but only a little bit more, it's a 32% increase.

It's your decision whether to take it or not.

Hi Qriz, 

A very kind MSE forum member worked out the below for me .... based on this ... would you fix or stay on the Standard Variable if it was you?

JGB1955 said:

I'm guessing (because you haven't told us) that you are trying to compare the cost of a future fix against your current costs?

Add both standing charges together, then multiply by 365. 

That makes your current charge (27.22+ 37.918) x 365 = £237.75 per annum. 
The BG fix works out at (44.083 + 30.645) x 365 = £272.75 

Then multiply the unit cost by the estimated usage

Your gas works out at 15914.05 x 7.344 = £1168.72

The fix is 15914.05 x 10.507 = £1672.08

The electricity is 29.24 x 5218.26 = £1,525.81
The fix is 36.236 x 5218.26 = £1890.88

TOTAL current is £2694.53 (£224 per month)
TOTAL anticipated fix is £3562.96 (£296 per month)

I'm not sure if you might need to add 5% VAT to these figures.

JoJo24601

P.s thank you so much for your help so far. I find this all so difficult to get my head around.

QrizB

JoJo24601 said:

QrizB said:

OK, back-calculating it seems like BG think you use around 15900kWh/yr of gas and 5200kWh/yr of electricity.

On the current SVT that would cost around £2910 a year. Adding 30% would take you to £3780/yr.

The deal you've shared costs £3840/yr, which is more than a 30% increase - but only a little bit more, it's a 32% increase.

It's your decision whether to take it or not.

Hi Qriz, 

A very kind MSE forum member worked out the below for me .... based on this ... would you fix or stay on the Standard Variable if it was you?

Personally, I like to take an informed risk and I can (probably) afford to pay the difference if it turns out badly. I'd stay on the variable tariff.

If, however, you will sleep better at night knowing you've got a fixed rate - or if you can afford £3600/yr but not eg. if it rises an extra 10%, so around £4000/yr - you might be better off with the fix.

JoJo24601

Thank you so much Qriz