Ovo not reducing fixed tariff to price cap

AdamantUK2010

I checked my online "plan" section and saw my rates were still showing the same as I signed up for a few months back which was (a little) higher than the cap so just sent them a message to find out my new rates.

They informed me that if your fixed rate is only "slightly" over the price cap then they won't reduce your fixed rates to the price cap.

I don't know about anyone else but I would have expected that anything over the price cap (up to a maximum of the maximum government support) should mean rates come down to the price cap.

They have switched me to SVR at no penalty but I would have preferred to stay on the fix if the rates were being matched in case the government changes their mind in a few months!

[Deleted User]

There is a plausible situation that might mean a fix isn’t reduced, but it doesn’t sound like the one you are talking about.

Which bits of your tariff were above the cap, and what does the tariff work out at on typical usage?

AdamantUK2010

The only thing I had "cheaper" was the gas standing charge, and it's a tiny amount.

I'm not sure what the typical usage amount was as I can't find the tariff sheet for the tariff I'm on.

The plan I was on was:

Electricity
37.04p/kWh
45.88p/day

Gas
10.72p/kWh
26.21p/day

I'm in the former SEEBOARD area.

[Deleted User]

‘typical’ is 2900kWh electricity, 12000kWh gas, and 365 days of standing charge.

AdamantUK2010

On those figures, I make my old bill with "typical" usage to be £2623.68 - not massively over the subsidised cap but still ~£125 or ~5% which I would rather in my account than the energy company's account.

Especially when all advice on their website (and from consumer advice sites) is that they would reduce fixed rates to the cap.

I wonder how many people will be paying ~5% over and above the subsidised cap?

[Deleted User]

There are two ways that are possible for why a fixed tariff should get a reduction (and we don’t know which is right).

Either the typical usage results in a figure above the relevant region cap (something like £2507 for SEEBOARD I think) - then you get a discount.

Or the unit rates are higher than the new variable unit rates - then you get a discount.

I can’t see any sensible reason for OVO to refuse based on what you’ve told us.

AdamantUK2010

Thanks, and that's how I understood it.

The argument they are using seems to be that it's only a bit over so it doesn't matter!

I've moved to the SVR / EPG now so no point me arguing it with them but I wonder how many other people will be in the same situation?