Fixed Tarrif

sharonbfc

I was wondering if anyone can shed any light.  I fixed my energy with British Gas November 2021 until Dec 2023.  Ive been receiving emails saying I have no need to worry as I am in a fixed and it wont affect me.  I had one of them on 12 August.  I have just received another email off them saying that as there is a 2500 price cap I have to keep a look out for another email and they will let me know what is happening.  I thought I would still be on the one that I fixed in 2021 surely they cannot break the contract that I have? or can they?

[Deleted User]

They'll just be telling you whether your tariff is one that will get an extra discount or one that will be left alone.

Fixing in Nov 21, I'd guess the second option is true.

[Deleted User]

Hi,

your fix is fine, think BG just have to give folks the option to switch to SVT if they wish.

400ixl

You will be able to stay on the fix you are on if that suits. What is happening (detail depending) is that for those who fixed based on the expectation that the rates will increase beyond where they now will reach will be able to get out of their fix without penalty.

You will need to check whether your rate is worth staying on or if the new capped rate is better and therefore taking advantage of the ability to exit without penalty is worth taking. If not, you should be able to stay where you are.

sharonbfc

400ixl said:

You will be able to stay on the fix you are on if that suits. What is happening (detail depending) is that for those who fixed based on the expectation that the rates will increase beyond where they now will reach will be able to get out of their fix without penalty.

You will need to check whether your rate is worth staying on or if the new capped rate is better and therefore taking advantage of the ability to exit without penalty is worth taking. If not, you should be able to stay where you are.

Thank you even though they have already put it up twice (like they do) I think it will be cheaper for me to stay on this one until Dec 23, Thank you

Brie

sharonbfc said:

Thank you even though they have already put it up twice (like they do) I think it will be cheaper for me to stay on this one until Dec 23, Thank you

If you are on a fix they won't have put your rates up.  They may very well have put your direct debit up if you were paying for less than the energy you were using.  Just make sure you are submitting readings regularly or checking any smart meter readings to ensure there are no errors.  Once you've done that check that their estimate of what you will use in the coming year is reasonable.  Many providers are assuming an increase in use despite many people cutting back and the demand for a higher DD isn't always required.  Better to have the money in your pocket rather than in BG's!!

[Deleted User]

sharonbfc said:

Thank you even though they have already put it up twice (like they do) I think it will be cheaper for me to stay on this one until Dec 23, Thank you

As Brie says, they haven't changed your rate while you were on the fix, they've changed your direct debit because you were using a different amount to what they estimated at the start of the contract.

sharonbfc

Brie said:

sharonbfc said:

Thank you even though they have already put it up twice (like they do) I think it will be cheaper for me to stay on this one until Dec 23, Thank you

If you are on a fix they won't have put your rates up.  They may very well have put your direct debit up if you were paying for less than the energy you were using.  Just make sure you are submitting readings regularly or checking any smart meter readings to ensure there are no errors.  Once you've done that check that their estimate of what you will use in the coming year is reasonable.  Many providers are assuming an increase in use despite many people cutting back and the demand for a higher DD isn't always required.  Better to have the money in your pocket rather than in BG's!!

Thank you, it is a smart meter it was already on when I bought the property years ago but I will check it myself too from now on   thank u for the advice