MSE News: Energy price cap to rise in January – your energy rates could change slightly

dealyboy

Hi boaty12 ... Welcome to the forums.

Your increase looking at the Energy Price Guarantee equivalent for electricity at a single rate, taking the standard 58% day 42% night split, based on your figures, takes it from 31.64p per kWh to 34.53p, which is there or there abouts the EPG rate. Myself and others are seeing very similar increases.

These are unfortunately valid but unexpected increases for many in aligning E7 and single rate tariffs. Different suppliers/regions will still have their own E7 splits, e.g. mine (E.ON Next Eastern) will be roughly 47p day and 17p night.

There are several highly knowledgeable people on this energy forum who have explained the matters and have given sound advice.

Spoonie_Turtle

boaty12 said:

EDF have advised from Jan 1st my economy 7 tariff will change from 46.59p/kwh to 54.47p/kwh for usage during the day (includes 5% vat). (the night rate falls from 11p to 7p/kwh) the standing charge of 39.02p/day is unchanged. my estimated 2023 usage is now £3100.
I cannot get an answer from EDF why my account is not protected by the government price cap! does anyone have any advice on this matter please!

I think you might be confused.  The 'cap' is actually a cap on unit rates which for one single usage profile (2,900kWh electricity and 12,000kWh gas, in a mythical 'average' region for standing charges which doesn't actually exist) is supposed to cost no more than £2,500.  It is not an absolute cap on how much people will pay for a year's usage.

As explained by the previous poster, the single rate capped unit price is an average of 34p (varies regionally between just over 32p to just over 35p) and yours works out at about that, no doubt the same or under the single rate for your region.

Scot_39

Latest article on BBC completely glossing over the rate changes being seen by many of the millions on multirate meters.

https://www.bbc.co.uk/news/business-64063568

And a similar response by the quoted govt spokesperson.

Compare this to the over 15% some are seeing on their E7/E10  night / heating rates e.g.  in replies to mse 

https://www.moneysavingexpert.com/news/2022/12/economy-7-price-rises-form-january/

Yes I know some night rates are dropping, and yes I know its Ofgem multirate price cap changes driving this, but such articles are hiding the misery being heaped on many.

My own off peak rate is up 2.26p, c11%. Less than some.

Just as winter arrives.

pensionpawn

Scot_39 said:

Latest article on BBC completely glossing over the rate changes being seen by many of the millions on multirate meters.

https://www.bbc.co.uk/news/business-64063568

And a similar response by the quoted govt spokesperson.

Compare this to the over 15% some are seeing on their E7/E10  night / heating rates e.g.  in replies to mse 

https://www.moneysavingexpert.com/news/2022/12/economy-7-price-rises-form-january/

Yes I know some night rates are dropping, and yes I know its Ofgem multirate price cap changes driving this, but such articles are hiding the misery being heaped on many.

My own off peak rate is up 2.26p, c11%. Less than some.

Just as winter arrives.

Yes, I thought that too. Also, no HYS to register that slip up....
Probably moving to single rate early Jan. Ofgen policy that increases demand during the day. Muppets..

keiran

Brit Gas standard variable rates for Econ 7 (in London) standing charge and night rate stay the same,
but the day rate goes up by 5p/unit  

Hardly insignificant and also unfair when all the single raters see no change

Is there simply no end to Ofgem's shortcomings and failures?

dealyboy

Fantasy:
BBC website article:

Energy customers contacted over January bill changes

"Slight changes to gas and electricity rates are likely to add only pennies, not pounds, to your bill."

Reality:
Economy 7 customers

About 20% (*1) of electricity consumers will see their rates rise by 8% (*2) from January.
*1 https://switchd.co.uk/energy/guides/economy7/
*2 Typical Economy 7 customer 58% day 42% night usage EPG equivalent rate

pensionpawn

dealyboy said:

Fantasy:
BBC website article:

Energy customers contacted over January bill changes

"Slight changes to gas and electricity rates are likely to add only pennies, not pounds, to your bill."

Reality:
Economy 7 customers

About 20% (*1) of electricity consumers will see their rates rise by 8% (*2) from January.
*1 https://switchd.co.uk/energy/guides/economy7/
*2 Typical Economy 7 customer 58% day 42% night usage EPG equivalent rate

I have just emailed BBC News editorial citing inaccuracies in their article and that they've missed the associated story that the government / Ofgen have fostered a situation that encourages E7 customers to migrate to single rate at the risk of increasing burden on the generating / distribution network at the time of a serious energy crises. Muppets...
I am waiting for Shell to publish their new single rate on New Year's Day and will most probably migrate off E7 for the first time in almost 30 years.

dealyboy

Good to see Justin Urquhart-Stewart (economist and co-founder of Regionally) ranting on Talk TV this morning.

09:38 on Dr David Bull's show.

molerat

My Eon Next NextFlex single rate is showing as 32.77p today against 33.07p yesterday, £8.70 pa less for Mr Average.

EDF gas down to 10.276p from 10.277p, a 12p pa saving.

Every little helps

dealyboy

Hi moley ...

molerat said:

My Eon Next NextFlex single rate is showing as 32.77p today against 33.07p yesterday, £8.70 pa less for Mr Average.

EDF gas down to 10.276p from 10.277p, a 12p pa saving.

Every little helps

... interesting, well saved! ... whereas ours (Eastern region) is showing as 35.13p up 0.07p (SC 38.94p unchanged). As you may known I have E7 which has gone up about 2.5p  to about 34.5p (EPG single rate equivalent on standard day:night usage ratio).