Energy Price Guarantee (announced 8 Sep): initial reaction & questions

Mstty

Ella_fella said:

shack69MSE said:

Based on the expected rise in October I fxed with EDF and having therefore been paying a higher rate since June.  If my fixed rate is higher then this new cap will I been moved to the capped rate, or can i leave my fixed rate without any penalty.

This. I went onto a 12 month fixed rate with British Gas in May which was 25% higher that the price cap at that time in the expectation that the price cap would go up by 55 to 60% in October.

Does this now mean I can exit this and move to a potentially cheaper tariff without prejudice?

Yes that is what has been passed onto Martin Lewis. Anyone on a fix can leave without penalty.

uksitebuilder

mrsmac59 said:

I've read those on a fix can revert to svt, hopefully without penalty.

No exit fees for switching to the Government backed SVT

wrf12345

So where is Ofgem's blurb on this? Or have they already been closed down and sacked for incompetence?

The_Green_Hornet

wrf12345 said:

So where is Ofgem's blurb on this? Or have they already been closed down and sacked for incompetence?

Give them a chance. It has only just been announced.

Mstty

wrf12345 said:

So where is Ofgem's blurb on this? Or have they already been closed down and sacked for incompetence?

Got nothing to do with Ofgem they have stated their prices for the October price cap.

This Government intervention will need the government to publish the new rates up to I presume £2500 of energy use then it defaults I presume to the Ofgem rates.

Lots of presumptions 

RoadToRiches

What is this in terms of kWh and daily standing charges for someone on the cap. How many kWh of gas and electric do I get for my £2,500 a year bill and how have they divided this up between the two gas and electric?

[Deleted User]

Happy_Sloth said:

So the announcement has just been made that the price cap is getting fixed at £2500. 

Anyone know what that means in terms of Price Per KWH for gas and electric?

I have the way people keep talking about this "Average family"  none of us are average we all use more or less.  i wish they would simply tell us the KWH capped rate then i could see how that will effect me personally. 

We don't know yet - the cap at the moment is made up of four different parts and they haven't published the breakdown of how the new cap will be split.

Planeteer

RoadToRiches said:

What is this in terms of kWh and daily standing charges for someone on the cap. How many kWh of gas and electric do I get for my £2,500 a year bill and how have they divided this up between the two gas and electric?

It's not a bill, it's a cap - bills will be proportional to your use and the cap.

PM mentioned caps on wholesale rates - does that mean tracker tariffs will remain favourable, or switch to SVT?

Planeteer

I hope Martin Lewis will be able to publish a new price comparison tool with the new capped rates once available?

wrf12345

The whole way that wholesale rates are calculated is going to be reviewed so really no idea where trackers will end up, hopefully the margin between wholesale and retail will be heavily squeezed