Stay with current fixed rate E-on Next or move?

Hopeful44

I have a two year fixed rate with E-On Next which ends in September 2023. 

Electricity

Next Exclusive 2 Year v5

Fixed term ends 15/09/2023

19.89 p/kWh 19.21 p/day

(All rates inc. VAT)

Gas

Next Exclusive 2 Year v5

Fixed term ends 15/09/2023

4.26 p/kWh 26.25 p/day

(All rates inc. VAT)

Works out at approx £115/mth for both gas and electricity. 3 bedroom semi 3 people. 

Do you think I should stay with this and hope things have improved by Sept 2023 or try and get a new fixed rate now? Thanks 

pochase

Welcome to the forum.

Is there any reason why you would like to pay an additional £2000 to £2500 more than necessary over the next 14 months?

This is a very basic estimate regarding the additional cost for you if you exit the fixed tariff.

I can really not understand any reason why you would want to waste your money? There is nothing even remotely in the region of the fix available, newest predictions show electricity for the run time of your fix at 45p and Gas over 15p.

Spies

Literally posting just to rub it in?

Alnat1

Stay on that lovely fix!!!!

Mstty

Hi and welcome to the forum.

I can't see an upside of ditching your current very good fix. If there were a long term 3 year fix available at decent future price cap beating rates then that could have been worth considering (but even then probably not)

Enjoy your cheap energy and plan for the change to approx 15p kWh gas and 48p kWh Elec (best guess long term forecast)

[Deleted User]

Personally, I would sit on my hands until April and then look at the situation again. With a new Prime Minister we might well have fracking; increased North Sea Gas, and mini-nuclear reactors online by the time that your fix ends. Then again, pigs might fly.

Hopeful44

Spies said:

Literally posting just to rub it in?

That's a very cynical reply. No, of course, I wasn't. I don't have time to play games. I was just checking if I could secure a longer fixed rate now. I feel very lucky to have secured a 2-year fixed rate last September before the hike in energy bills was widely publicised. However, it doesn't stop me from worrying about what I might be facing in September next year.  

Hopeful44

Thank you for the helpful comments which have given me some reassurance. Not all of us are savvy about what is going on or what is the best course of action so forums like this are very useful. 

Sea_Shell

Well done, great fix.   

However, start planning now, for when your fix ends.   You have time on your side, so make the most of it.

Keep an accurate/close eye on your consumption*, keep across the news as to what happens with the caps, and keep reworking your own £££ and then start saving that difference every month, so when it finally ends you are equipped with the knowledge and funds to deal with it.

If you're into spreadsheets, create a "fantasy" ** energy account with your actual usage v cap rates, to track where you would be on SVTs. It might be a bit   😲, but for anyone currently on any sort of decent fix it's a worthy exercise IMO.    


*Habits in reducing consumption now, will then be second nature for Winter 23, plus you'll still save money in the meantime.

** Ok, so it's more nightmare than fantasy, but you get the idea.

Hopeful44

Thank you Sea_Shell, that's a good plan.