Is this fixed tariff worth it?

xJWRx

Meter readings: 

Gas: 3617

Electric: 94872

Rates (proposed by OVO on a two year term)

Gas: 13.5450p/kWh

Electric: 43.6905p/kWh

Standing charge: 

Gas: 27.5205p/da

Electric: 56.1645p/da

I've recently moved to this property (in Glasgow) and am currently on a standard tariff which costs: 

Gas (SSE): 7.72p/kWh, 32.03p/da standing charge

Electric (Scottish Power): 27.925p/kWh, 53.040p/da standing charge.

I'm wondering if this is worth it to fix given the significant rise expected in October? As far as I understand it could potentially rise by up to 65% however based on my maths my standard tariff would still work out cheaper? I can cancel by August 1st and stay with my current suppliers but not sure what to do. This is the first property that I'm paying my own utilities so it's all new to me. I feel like I might have been too late to fix and should just stick with what I have? 

I'm in a super energy efficient property so based on the fixed tariff they estimate my bills to be £44 dual fuel each month. 

Thanks for any advice that you all can provide 😊

pochase

I have real difficulty to see how £44 can work for you. You daily standing charge is over 85p per day, that is £25.5 to £26.85 per month.

This will leave you £17.65 to £18.50 for energy per month. With the new electricity rates predicted from October that will give you 42KWh electricity per month and no gas no gas at all. 

If you look at the current meter reading of 94872 that means that meter is already for the last 188 years in the property, ignoring the use of gas.

How old is the property? Or how old are the meters, that will give a better idea of the annual use.

Mstty

What size property is it for an estimated £44 a month and is that for your current tariff or the new fix?

xJWRx

Mstty said:

What size property is it for an estimated £44 a month and is that for your current tariff or the new fix?

It's for the new tariff, it's a 1 bed 1 bath mid floor flat built in 2007

xJWRx

pochase said:

I have real difficulty to see how £44 can work for you. You daily standing charge is over 85p per day, that is £25.5 to £26.85 per month.

This will leave you £17.65 to £18.50 for energy per month. With the new electricity rates predicted from October that will give you 42KWh electricity per month and no gas no gas at all. 

If you look at the current meter reading of 94872 that means that meter is already for the last 188 years in the property, ignoring the use of gas.

How old is the property? Or how old are the meters, that will give a better idea of the annual use.

That was my concern too it seemed really low, and then would end up in a situation where they'd probably jack up the direct debit amount

Mstty

From those readings it looks like the flat started off as electricity only and has recently had gas installed.

Not unusual we have two flats like this that have had gas fitted under a government grant scheme in the last year. Their meters would be very similar.

pochase

xJWRx said:

Mstty said:

What size property is it for an estimated £44 a month and is that for your current tariff or the new fix?

It's for the new tariff, it's a 1 bed 1 bath mid floor flat built in 2007

If your meter shows 94872 for 15 years, that is 6374KWh per year, which would be more than extreme for the property you describe.

Are you sure about the meter read you posted?

xJWRx

pochase said:

xJWRx said:

Mstty said:

What size property is it for an estimated £44 a month and is that for your current tariff or the new fix?

It's for the new tariff, it's a 1 bed 1 bath mid floor flat built in 2007

If your meter shows 94872 for 15 years, that is 6374KWh per year, which would be more than extreme for the property you describe.

Are you sure about the meter read you posted?

Yeah that's definitely the electricity reading, my move in reading on 07/07/2022 was 94851 and now I'm at 94872. 

To be honest I'm considering moving out of the place and thankful it's a 28 day notic

Ballymoney

Whilst your electricity usage is low it still equates to a monthly payment far more than £44 unfortunately, especially when you factor in your gas too.

As for your original question, I don’t think I’d be looking to lock in those prices for 2 years.

xJWRx

Thanks for the replies everyone, I've cancelled the switch over to OVO and will stay on the standard tariff for now. Even though I'd prefer the dual fuel on DD I can't justify an almost 80% increase (when factoring in both the kWh rate and standing charge) when the increase is set to be around 65% in October