BBC Mis Information

hollie.weimeraner

I see BBC maths is a bit wonky with the new energy predictive price caps last night. Last night the 10 o'clock news stated energy bills will be £500 per month and 4k a year. Not sure about you but the last time I was in school there was 12 months in a year and 12 x 500 is 6K. 4k works out at £333 per month, still horrendous but why put the added fear in everyone?

What_time_is_it

I think they said:

£4k over a year
4 rises (to the SVR) per year.
£500 for a single month (in winter).

Sounds fairly accurate to me.
It's a very complex issue and hard to get across exactly what it means to people. Most don't really understand what the price cap means, and most people only think about how much their monthly DD is rather than consider the longer term picture.

Effician

hollie.weimeraner said:

I see BBC maths is a bit wonky with the new energy predictive price caps last night. Last night the 10 o'clock news stated energy bills will be £500 per month and 4k a year. Not sure about you but the last time I was in school there was 12 months in a year and 12 x 500 is 6K. 4k works out at £333 per month, still horrendous but why put the added fear in everyone?

It's because most people use more energy in winter months & less in summer, energy use is very rarely linear throughout the year.

£500 a month for a couple of months in the dead of winter would seem a fair guess for an average user at the new winter cap rates with less usage  in the shoulder months & less again in summer.

What_time_is_it

Also "why put the added fear in everyone"...

It IS terrifying.
If anything, it's being underplayed in the news. This will be the biggest story over the next few years. It will be life-changing for millions.

markin

As everyone is on monthly DD's its very confusing to use actual cost for 1 month.

What_time_is_it

markin said:

As everyone is on monthly DD's its very confusing to use actual cost for 1 month.

Millions of people pay a variable amount each month based on usage. And it's usually people on low incomes.
I think it's entirely appropriate to point out now that January's bill might be the one that pushes you over the edge.

[Deleted User]

Hi,

and that's only the energy increase, seems another interest rate increase is imminent, those not on a fix rate mortgage will get another hit.

Least I should get a good return on my savings at last.

brewerdave

frugalmacdugal said:

Hi,

and that's only the energy increase, seems another interest rate increase is imminent, those not on a fix rate mortgage will get another hit.

Least I should get a good return on my saving at last.

GOOD return ?? With inflation running at God knows what ,it would need to be 10% interest - and that ain't going to happen !!

[Deleted User]

Hi,

I live a frugal life just to save money.

daveyjp

markin said:

As everyone is on monthly DD's its very confusing to use actual cost for 1 month.

Everyone?  Tell that to those on pre payment meters.

Chrysalis

The media need to stop with the average cost nonsense. £500 a month is meaningless if you not average use.

But on the hyping up of the problem, I do think the media have actually underplayed it.  This is far bigger than the poll tax problems as an example yet the poll tax caused riots, this has the potential to go way beyond that.

On the old method of fuel poverty, you will need (for average usage) a salary of 38k or higher to not be in fuel poverty in January.