Time to switch but I am confused - help please

Thready

Hi There, 

I have just had an email from my supplier [Outfox the Market] to say that I am now in the wondow to renew my current fixed price deal.  

However their email has the the comparrison below, am I reading it correctly or would I actually be siginificantly better off by allowing my account to move to the standard variable rate?


I think I must be missing something but I am not sure what?  

Many thanks for any input.

EssexHebridean

Why do you think you must be missing something? There are no currently offered fixes from anywhere as far as I know that are cheaper than the cap - some of them MAY be cheaper than the new cap from October but without unit rates it's impossible to tell if this might be one of them. 

amarcusj69

Nope - it says what it says - SVR is cheaper. We will hear on 26/Aug what the October Price Cap will be, and then we know there will be 3-monthly updates to it (so next is January 2023). 

No crystal balls I’m afraid - save for ‘expecting’ that Oct will rise again, Jan 23 May be another small increase (though depends on war / climate / Covid - Round 5, other global factors) with the hope that things fall back a bit through 2023. 

My OVO comparison (for same usage as current on dual fuel) for info was either £149 p/m on SVR or £219 for a 1yr fix!! Why would I pay £70 x2 more to fix for the next 2 months? 

I can’t see any Fixes being attractive at all in the next 6 months - just my opinion. At least with SVR you’ve got flexibility. 

pochase

Even with the latest 65% predicted increase the new SVT will still be cheaper

Alnat1

@amarcusj69 If you take a fix now, yes your DD will go up now but you will only be billed for the energy you use. As it's summer, hopefully this will be low. This will allow some credit to build up on your energy account to cover the (much) bigger bills over winter.

amarcusj69

While it would be good to build up some credit to cover the colder period, the simple maths are “if I move to fix rate I will pay more for exactly the same actual usage if I choose to go SVR” - simply because the fix unit rates are excessive to say the least (esp. the Standing Charge). 

Mstty

Not if you switch and fix with green energy

https://www.greenenergyuk.com/

Read the terms and conditions make.sure it's right for you. This is a fixed rate not bound by price caps but does come under the expect rise in October. 

To rejoin a price capped product in the future you wil have to switch to another provider at the end of your fixed rate as Green Energy are not bound by price caps and do not have to offer a product of this nature.

If you are happy with a switch and fix then a switch at the end should they not offer you a competitive one at the end of your fixed rate this could be for you.

QrizB

Thready said:

I think I must be missing something but I am not sure what? 

Outfox The Market currently have the most expensive domestic fixed tariffs anyone on the MSE forum has found.

Also, they're in trouble with Ofgem.

This would be a good time to make sure your account isn't significantly in credit and to think about switching to a different supplier.

MWT

QrizB said:

This would be a good time to make sure your account isn't significantly in credit and to think about switching to a different supplier.

I particularly liked this part of the order from Ofgem...

"The provisional order requires Foxglove to address our concerns quickly and fully. Until such time as it does, the provisional order bans Foxglove from taking on new customers and removing any money from the business unless it constitutes spending essential to the operation of Foxglove’s supply business."

They learn slowly, but they do learn...

I'll be very surprised if OTM even make it through till October, let alone the approaching winter...

Thready

QrizB said:

Thready said:

I think I must be missing something but I am not sure what? 

Outfox The Market currently have the most expensive domestic fixed tariffs anyone on the MSE forum has found.

Also, they're in trouble with Ofgem.

This would be a good time to make sure your account isn't significantly in credit and to think about switching to a different supplier.

Thank you, I wasn't aware of this and I am around £500 in credit