Am I looking at a 7x rise in energy cost since last year?

double_dutchy

MattMattMattUK said:

I have just re-read this part, the October price cap is unlikely to be anywhere near 80%, 35% is most likely, unless Russia cuts off all gas, in which case the lights will go out in most of Europe. 

The chief executive of Ofgem, Jonathan Brearley told a parliamentary committee two days ago that the October price cap would be approximately £2,800. That would represent a 42% rise over the current level - £1,971

QrizB

Short answer - no, you're not looking at a 7x increase.

Longer answer (since I don't think you've had everything in one place yet):

j.a.mcguire said:

September 2021, Avro went bust, I went from paying £62 per month, and got the cheapest fix I could find which was with BG Energy at £101 per month for 12 months.  A rise of 63% on the previous price I was paying.

Avro were selling energy below cost, which is why they went bust. Your SoLR was bound to cost more.

Depending on which BG fix you got, you might have been lucky and beaten the odds.

I've just been checking the current fixed deals with EDF, and it looks like I'm looking at a bill of £244, which would be an increase of 240% from my current deal with BG Energy, or a staggering 394% increase from the price I was paying with Avro. If I assume the £244 fixed is inline with the current cap rates

None of the current fixed-rate deals are as cheap as the current capped variable rate.

When I left Avro, they quoted that I had used 1742kWh of electricity and 16339kWh of gas for the 12 month period.

That would cost £1962/yr, £164/month, on the current capped variable rate.

(At the previous October 2021 cap, it would have cost £1213/yr, £101/month. Looks like you *were* one of the lucky ones when you took that BG fix!)

... and inflate it by another 80% inline with the October price rise ...

Ofgem's assessment is for a 42% rise in October. If they're correct (opinions are divided ...)

... I'm looking at a bill of £439.20 per month, which is an increase of 708% over what I was paying this time last year.

£164/month inflated by 42% becomes £233/month. 376% of what you were paying (a 276% increase).

I am bloody terrified if so, that's £5,270.40 per year, that's an absolute fortune to me.

£1962/yr plus 42% makes £2786/yr. Still a lot of money but not *quite* as crazy.

I am more scared for my parents who receive state pension only, and their bills are often higher, they could not afford to pay anywhere near that.

They should get a reasonable hand-out from Rishi's latest Elastoplast on the cost-of-living crisis.

Are they each receiving the full New State Pension of £185-ish per week? If not, they might be eligible for Pension Credit. Have they checked?

bristolleedsfan

MattMattMattUK said:

j.a.mcguire said:

If I assume the £244 fixed is inline with the current cap rates, and inflate it by another 80% inline with the October price rise, I'm looking at a bill of £439.20 per month, which is an increase of 708% over what I was paying this time last year.

I have just re-read this part, the October price cap is unlikely to be anywhere near 80%, 35% is most likely, unless Russia cuts off all gas, in which case the lights will go out in most of Europe. 

Ofgem said that likely Cap of £2800 supercedes previous estimate of £2600 and could go higher