Should I revert my high fix?

greentea2020

Hi all, 

British Gas have been emailing me asking my to change my 'high' fix as even after the EPG discount it's higher than Standard Variable. It works out £110 more expensive with my current fix.

Now, with the gov support ending April 2023, I don't feel this is the right move. Am I correct in thinking that after April, unless new support is given and with the new price cap, the rates I will get will be higher with Standard Variable vs my current high fix?

Thanks

ariarnia

no one knows yet what is going to happen in april. staying is a risk or moving is a risk. only you can decide which risk you think is less. 

we know the government will 'review' the current cap in march for an announcement to happen by 1 april. but that review could mean they decide to extend it. or replace it with something similar. or they might go to the ofgem cap and that might be higher or lower than the october (pre government cap) cap depending on gas prices over the three months before.  which depends on things like the pound inflation war and the government wanting to get ready for an election next winter. lots of things that no one can predict really this far in advance. 

if i were you i would check if my current fix had exit fees that might not be waved if i decided to stay on it for now. then sit down and seriously think about the risks. 

Astria

The rates you get in April MAY be higher with Standard Variable vs your current high fix. That's all we know. It's too early to predict anything else at the moment. The one thing for definite is the price of your current fix.

FreeBear

How long is your fix for ?

Most of your heating costs will be racked up over the winter months. So depending on how long your fix is for, and how far the capped rates rise in April, you may well end up losing out. But it is all a guessing game, so no one can say for sure what will happen.

greentea2020

All these are true, thanks all

My current rates are until August 2023:

Gas

Gas: Standing Charge: 24.48p Unit rate: 12.234p

Elec: Standing charge: 26.661p Unit rate: 42.012p

Standard variable

Gas: Standing charge: 28.484 Unit rate: 10.508

Elec: Standing charge: 33.157 Unit rate: 35.796

Exit fees £100 per fuel after 31 Oct

The difference is pretty small tbh so I might just stick with it.

Spoonie_Turtle

Are those fix rates before or after the EPG discount?  What's really relevant is what they are without the discount, so you can compare with predictions for April's SVT when the EPG is removed, in case they decide to do nothing to fixes and keep them the full rate.

It is still too early to predict with any certainty, of course, but useful to know for keeping your eye on forecasts for April.