Energy price cap freeze on a fixed tariff

[Deleted User]

Chrysalis said:

QrizB said:

[Deleted User] said:

sienew said:

For example, EDF are saying "If you're on one of our fixed tariffs there is nothing you need to do right now. Customers on fixed tariffs will benefit from similar discounts subject to a floor. "

All depends what "similar" means and where the floor is set.  Martin is very clear that he thinks "similar" means exactly the same amount in pence and doesn't mention the floor at all.

EDF also say this, which seems to contradict the "floor" bit:

That indicates it would be #1.  No suggestion there of tariffs below £2500 getting a discount.

Not quite.  It leaves open the possibility that a fixed tariff which is priced above £2,500 receiving a discount which could drop it below £2,500 - if that's the way discounts end up being applied.

I don't think that's likely, but the way things are being thrown around at the moment I can't rule it out.

mmmmikey

Deleted_User said:

QrizB said:

Deleted_User said:

sienew said:

For example, EDF are saying "If you're on one of our fixed tariffs there is nothing you need to do right now. Customers on fixed tariffs will benefit from similar discounts subject to a floor. "

All depends what "similar" means and where the floor is set.  Martin is very clear that he thinks "similar" means exactly the same amount in pence and doesn't mention the floor at all.

EDF also say this, which seems to contradict the "floor" bit:

"a little more complicated" - give EdF a medal for understatement.

That does at least suggest that tariffs already under the cap will be left alone, which up to this point we were not certain about.

Sounds better than "your guess is as good as ours" though

If tariffs under the cap are left alone, then you would expect the floor (which is mentioned in the FAQs below this table") to be higher than any of those left alone tariffs as it would hardly be fair to discount a more expensive tariff to a lower amount.

Chrysalis

Deleted_User said:

Chrysalis said:

QrizB said:

Deleted_User said:

sienew said:

For example, EDF are saying "If you're on one of our fixed tariffs there is nothing you need to do right now. Customers on fixed tariffs will benefit from similar discounts subject to a floor. "

All depends what "similar" means and where the floor is set.  Martin is very clear that he thinks "similar" means exactly the same amount in pence and doesn't mention the floor at all.

EDF also say this, which seems to contradict the "floor" bit:

That indicates it would be #1.  No suggestion there of tariffs below £2500 getting a discount.

Not quite.  It leaves open the possibility that a fixed tariff which is priced above £2,500 receiving a discount which could drop it below £2,500 - if that's the way discounts end up being applied.

I don't think that's likely, but the way things are being thrown around at the moment I can't rule it out.

Umm, you just said the exact same thing as me a few minutes ago?

https://forums.moneysavingexpert.com/discussion/comment/79470941/#Comment_79470941

Ok I see what you are saying now you think they will leave someone below £2500 alone but then also there is a chance they would bring someone above £2500 below it by applying a discount bigger than what would just take them to SVR, that seems unlikely, but I have seen stranger things happen.

Steve_79_P

"If tariffs under the cap are left alone, then you would expect the floor (which is mentioned in the FAQs below this table") to be higher than any of those left alone tariffs as it would hardly be fair to discount a more expensive tariff to a lower amount." 

The only way to achieve this would be floor=cap, which is sensible in my opinion.

Chrysalis

Steve_79_P said:

"If tariffs under the cap are left alone, then you would expect the floor (which is mentioned in the FAQs below this table") to be higher than any of those left alone tariffs as it would hardly be fair to discount a more expensive tariff to a lower amount." 

The only way to achieve this would be floor=cap, which is sensible in my opinion.

Thats exactly my assumption.

[Deleted User]

Chrysalis said:

Deleted_User said:

Chrysalis said:

QrizB said:

Deleted_User said:

sienew said:

For example, EDF are saying "If you're on one of our fixed tariffs there is nothing you need to do right now. Customers on fixed tariffs will benefit from similar discounts subject to a floor. "

All depends what "similar" means and where the floor is set.  Martin is very clear that he thinks "similar" means exactly the same amount in pence and doesn't mention the floor at all.

EDF also say this, which seems to contradict the "floor" bit:

That indicates it would be #1.  No suggestion there of tariffs below £2500 getting a discount.

Not quite.  It leaves open the possibility that a fixed tariff which is priced above £2,500 receiving a discount which could drop it below £2,500 - if that's the way discounts end up being applied.

I don't think that's likely, but the way things are being thrown around at the moment I can't rule it out.

Umm, you just said the exact same thing as me a few minutes ago?

https://forums.moneysavingexpert.com/discussion/comment/79470941/#Comment_79470941

Ok I see what you are saying now you think they will leave someone below £2500 alone but then also there is a chance they would bring someone above £2500 below it by applying a discount bigger than what would just take them to SVR, that seems unlikely, but I have seen stranger things happen.

Yes - I completely agree with what you said, just pointing out that strange and unlikely loophole.

mmmmikey

Hmmm - we seem to have mostly read this the same way. If your fixed tariff has a rate that is higher than the cap, someone quietly nips in overnight and changes the computer so the rate for that tariff is the cap rate. So you stay on the same tariff in name, there's no admin or exit charges involved with an associated change - you just benefit from the new cap by getting a lower bill from October. Or some variation of that administratively having the same effect.

The thing that has confused all this is Martin's tweets which appear to suggest something different - maybe just a bit of miscommunication in a very rapidly evolving situation?

PeteHl

Just seen the new capped rates from October with govt subsidy. Less than a tenth of a penny more per unit than my current fix I've been paying since June. Maybe cost me £150 over 3 months. Will my fix be reduced further. I doubt it.

[Deleted User]

PeteHl said:

Just seen the new capped rates from October with govt subsidy. Less than a tenth of a penny more per unit than my current fix I've been paying since June. Maybe cost me £150 over 3 months. Will my fix be reduced further. I doubt it.

Where have you seen these?  Nobody else seems to have been able to find them yet.

northernsparky

[Deleted User] said:

PeteHl said:

Just seen the new capped rates from October with govt subsidy. Less than a tenth of a penny more per unit than my current fix I've been paying since June. Maybe cost me £150 over 3 months. Will my fix be reduced further. I doubt it.

Where have you seen these?  Nobody else seems to have been able to find them yet.

Have  you seen this ?

https://www.thesun.co.uk/money/19761289/important-update-energy-customers-fixed-deals/

It’s anyones guess how accurate their information is