New fixed deal from British Gas

[Deleted User]

Gollom122 said:

See my post above yours. It seems to me that they want you to make the move so they can wash their hands of the fix. Moving to variable just means they can increase tariff and the Gov will take up the increase. 

£2,500 isn’t a cap. It’s typical use. 

You’ve managed to be wrong twice in two posts, very well done. I’ve seen this message a few times and have no idea where it’s come from.

The government does not pay any more to suppliers for customers on variable tariffs than on a fixed tariff at the same price.  Suppliers also can’t just “increase tariffs” to get more money - that’s the whole point of the cap.

The suppliers get paid based on how much it actually costs them to buy the energy that they sell to you.  That’s it. All the other components have pretty much been left alone by the EPG. How much they get doesn’t change based on what tariff you are on.

RL11

RL11 said:

   

BG email yesterday:
"Your current fixed price tariff is still the cheapest option for you"

BG email today:
"From 1st October, the fixed tariff you’re currently on is more expensive than our Standard Variable tariff – even with the EPG discount applied. So, we strongly suggest you switch to avoid paying more for your energy than you need to"

I think I've figured it out! The email from BG yesterday was only related to my Gas tariff and todays email is regarding Electric. I'm always been a dual fuel customer so assumed yesterdays email was about both Gas and Electric. Yesterdays didn't explain but todays only mentions Electric. So, they must be letting me leave Gas fixed and change Electric to variable - which would be the cheapest option for me.

A massive £16 per year saving on my typical use! But still £1,800 higher than I was paying this time last year  :'(

Gollom122

[Deleted User] said:

Gollom122 said:

See my post above yours. It seems to me that they want you to make the move so they can wash their hands of the fix. Moving to variable just means they can increase tariff and the Gov will take up the increase. 

£2,500 isn’t a cap. It’s typical use. 

You’ve managed to be wrong twice in two posts, very well done. I’ve seen this message a few times and have no idea where it’s come from.

The government does not pay any more to suppliers for customers on variable tariffs than on a fixed tariff at the same price.  Suppliers also can’t just “increase tariffs” to get more money - that’s the whole point of the cap.

The suppliers get paid based on how much it actually costs them to buy the energy that they sell to you.  That’s it. All the other components have pretty much been left alone by the EPG. How much they get doesn’t change based on what tariff you are on.

That doesn’t make sense. Why do I need to switch? If the EPG makes no difference to what tariff I am on (unless it’s cheaper) given the EPG will be applied to everyone?

[Deleted User]

Gollom122 said:

[Deleted User] said:

Gollom122 said:

See my post above yours. It seems to me that they want you to make the move so they can wash their hands of the fix. Moving to variable just means they can increase tariff and the Gov will take up the increase. 

£2,500 isn’t a cap. It’s typical use. 

You’ve managed to be wrong twice in two posts, very well done. I’ve seen this message a few times and have no idea where it’s come from.

The government does not pay any more to suppliers for customers on variable tariffs than on a fixed tariff at the same price.  Suppliers also can’t just “increase tariffs” to get more money - that’s the whole point of the cap.

The suppliers get paid based on how much it actually costs them to buy the energy that they sell to you.  That’s it. All the other components have pretty much been left alone by the EPG. How much they get doesn’t change based on what tariff you are on.

That doesn’t make sense. Why do I need to switch? If the EPG makes no difference to what tariff I am on (unless it’s cheaper) given the EPG will be applied to everyone?

How much you pay might be affected, but how much they get paid will not be.

Gollom122

[Deleted User] said:

Gollom122 said:

[Deleted User] said:

Gollom122 said:

See my post above yours. It seems to me that they want you to make the move so they can wash their hands of the fix. Moving to variable just means they can increase tariff and the Gov will take up the increase. 

£2,500 isn’t a cap. It’s typical use. 

You’ve managed to be wrong twice in two posts, very well done. I’ve seen this message a few times and have no idea where it’s come from.

The government does not pay any more to suppliers for customers on variable tariffs than on a fixed tariff at the same price.  Suppliers also can’t just “increase tariffs” to get more money - that’s the whole point of the cap.

The suppliers get paid based on how much it actually costs them to buy the energy that they sell to you.  That’s it. All the other components have pretty much been left alone by the EPG. How much they get doesn’t change based on what tariff you are on.

That doesn’t make sense. Why do I need to switch? If the EPG makes no difference to what tariff I am on (unless it’s cheaper) given the EPG will be applied to everyone?

How much you pay might be affected, but how much they get paid will not be.

So I’ve totally misunderstood what the EPG is. 

You are saying that the EPG is not for the end user but for the energy company. I know the politicians bend the truth but I am sure it’s intended to help the consumer and not the energy company. 

[Deleted User]

I didn’t say anything of the sort. You’ve certainly misunderstood a lot of things though, that much is clear.

RL11

RL11 said:

So, they must be letting me leave Gas fixed and change Electric to variable - which would be the cheapest option for me.

Nope! Tried changing just the electric tariff and I can't. There are separate "Switch Tariff" options against Gas and Electric but I have to switch both as I progress through the switching process. I'll have to call/chat with them if I can just change one.

Foxmiester

@RL11 I posted on a BG Facebook post today asking why the standing charge was more. They asked me to DM them so I did. I got a response within 2 hours and before I had chance to reply it was followed by a email saying "action required switch tariff to save money". So I'm switching to the variable tariff and if you click the link in the email it's backdated to 1st October.  it's amazing what happens if you moan enough. I have a work colleague with BG and he hasn't heard anything from them.

Gollom122

[Deleted User] said:

I didn’t say anything of the sort. You’ve certainly misunderstood a lot of things though, that much is clear.

If you got off your soap box for a moment perhaps enlightenment could be appreciated rather than chucking negative statements around. 

Astria

Gollom122 said:

[Deleted User] said:

I didn’t say anything of the sort. You’ve certainly misunderstood a lot of things though, that much is clear.

If you got off your soap box for a moment perhaps enlightenment could be appreciated rather than chucking negative statements around. 

If your fixed rate is higher than the October price cap then you will end up paying more for your energy as the starting price is more. Simple as.

If you would have been paying 51p, you'll pay 34p.

If you would have been paying 60p, you'll pay 43p.

So if your fixed rate was > 51p it makes sense to drop onto the SVT.