Energy price cap freeze on a fixed tariff

[Deleted User]

mattgod69 said:

What is the October Ofgem price cap in kw/h for electric and gas.  All I can find is the annual payment which is almost meaningless as it depends on the actual usage...!!

Many thanks.

The price cap is in ££.  This gets turned into p/kWh by using the 'typical household'.

michaels

[Deleted User] said:

mattgod69 said:

What is the October Ofgem price cap in kw/h for electric and gas.  All I can find is the annual payment which is almost meaningless as it depends on the actual usage...!!

Many thanks.

The price cap is in ££.  This gets turned into p/kWh by using the 'typical household'.

Pretty sure it is the other way around.  However we are too stupid to understand unit rates so it is always communicated as spend for typical usage.

oliverbrown

Ultrasonic said:

Chrysalis said:

Those amendments are an embarrassment it took so long, it really should have been right from the moment it was published or at least corrected the same day.

I thought the amendments added additional information rather than substantially changing anything?

The substantial change for me is the addition of "up to", which was missing from the first iteration.

Ultrasonic

SJMALBA said:

Ultrasonic said:

Chrysalis said:

Those amendments are an embarrassment it took so long, it really should have been right from the moment it was published or at least corrected the same day.

I thought the amendments added additional information rather than substantially changing anything?

The much speculated (by @Mstty and others) missing 'up to' seems rather significant, not to mention the sudden addition (in terms of the factsheet) of the (also much speculated) 'floor' etc. So, yes, IMO, it changed quite a lot, if not indeed fundamentally.

But those things haven't been added? Or at least not last time I checked.

oliverbrown

Ultrasonic said:

SJMALBA said:

Ultrasonic said:

Chrysalis said:

Those amendments are an embarrassment it took so long, it really should have been right from the moment it was published or at least corrected the same day.

I thought the amendments added additional information rather than substantially changing anything?

The much speculated (by @Mstty and others) missing 'up to' seems rather significant, not to mention the sudden addition (in terms of the factsheet) of the (also much speculated) 'floor' etc. So, yes, IMO, it changed quite a lot, if not indeed fundamentally.

But those things haven't been added? Or at least not last time I checked.

They absolutely have been added.

Ballymoney

Good luck to anyone trying to move from a fixed tariff to the current SVT with Eon Next. Just tried it and the woman who I was talking to just couldn’t get her head around the fact the current SVT rate is the 1 April - 30 Sept rate and not the old Ofgem 1 Oct - 31 Dec rate. She kept telling me the SVT rate is more than my fix (it’s not, my fix is 44p and 11p) and that the new capped prices haven’t been loaded to their system yet.

Gave up in the end.

[Deleted User]

michaels said:

[Deleted User] said:

mattgod69 said:

What is the October Ofgem price cap in kw/h for electric and gas.  All I can find is the annual payment which is almost meaningless as it depends on the actual usage...!!

Many thanks.

The price cap is in ££.  This gets turned into p/kWh by using the 'typical household'.

Pretty sure it is the other way around.  However we are too stupid to understand unit rates so it is always communicated as spend for typical usage.

Nope.

The price cap is in ££ (based on one 'typical usage') and then turned into unit rates.

It's then turned back into ££ (based on a different 'typical usage') for public communication.

Ultrasonic

Just checked and I see it does now mention a floor! It still says it was last updated on 9/9 but I really don't think it said this then?

https://www.gov.uk/government/publications/energy-bills-support/energy-bills-support-factsheet-8-september-2022

[Deleted User]

Ultrasonic said:

Just checked and I see it does now mention a floor! It still says it was last updated on 9/9 but I really don't think it said this then?

https://www.gov.uk/government/publications/energy-bills-support/energy-bills-support-factsheet-8-september-2022

It got updated a few hours ago - but they haven't changed the 'last updated' details.

Ultrasonic

Here's the relevant revised section for others who may not have seen it, which is now very clear on what is happening re. fixed tariffs:

If you’re on a fixed rate tariff

For those customers on fixed rate tariffs, a ‘floor’ unit price for gas averaging at 10.3p/kWh and for electricity averaging at 34p/kWh for direct debit customers will also come into effect on 1 October 2022. We are introducing a floor because some people will have fixed at much lower prices some time ago, meaning their annual payments will already be below the £2,500 average set by the Energy Price Guarantee.

Unit price reductions of up to 17p/kWh for electricity and 4.2p/kWh for gas will apply to fixed tariff customers to bring their rates down to, but not below, the floor unit price. Customers on fixed rate tariffs that are already below the floor unit prices will continue to enjoy those low rates, but will not receive a further discount for the duration of their fixed term.

For the small number of consumers who fixed at a high rate exceeding the October Ofgem price cap of £3,549, they will receive the full discount of 17p for electricity and 4.2p for gas. However, given the higher starting point, their fixed rate tariff will still have a unit rate that is above the EPG rates. This will ensure that a fair price is paid by everyone.

Energy suppliers will adjust fixed tariffs automatically. Customers on fixed tariffs do not need to take any action to get the benefits of this scheme. Any transfer to a different tariff is a matter for suppliers.