New E.ON Fixed Rate deal starting July.

jbuchanangb

There has been some speculation on this forum that suppliers might start offering new fixed rate deals. I can confirm that I have been offered, and signed up for a new 12 month fixed rate deal starting in July, when my current fixed rate deal ends. My current deal is "Next Online V15", and the new one is called "Next Loyalty 12M Fixed Rate - July 23 Issue 1". The daily rates and unit rates are lower, both for electricity and gas, than what I am paying now under the Energy Price Guarantee.

[Deleted User]

jbuchanangb said:

There has been some speculation on this forum that suppliers might start offering new fixed rate deals. I can confirm that I have been offered, and signed up for a new 12 month fixed rate deal starting in July, when my current fixed rate deal ends. My current deal is "Next Online V15", and the new one is called "Next Loyalty 12M Fixed Rate - July 23 Issue 1". The daily rates and unit rates are lower, both for electricity and gas, than what I am paying now under the Energy Price Guarantee.

By how much? Exit fees? Personally, I would have waited until the announcement of the next Ofgem cap. My gas rate today is 3.717p/kWh and the daily cost has been falling steadily for the past 2 months.

bristolleedsfan

Dolor said:

jbuchanangb said:

There has been some speculation on this forum that suppliers might start offering new fixed rate deals. I can confirm that I have been offered, and signed up for a new 12 month fixed rate deal starting in July, when my current fixed rate deal ends. My current deal is "Next Online V15", and the new one is called "Next Loyalty 12M Fixed Rate - July 23 Issue 1". The daily rates and unit rates are lower, both for electricity and gas, than what I am paying now under the Energy Price Guarantee.

By how much? Exit fees? Personally, I would have waited until the announcement of the next Ofgem cap. My gas rate today is 3.717p/kWh and the daily cost has been falling steadily for the past 2 months.

What you are paying today based on day ahead prices is irrelevant being as nobody can switch to that tariff without going on a waiting list of up to 6 months, current version can potentially go much higher - gas (30pkWh cap)

Next Loyalty 12M Fixed Rate - July 23 Issue 1 -  loads cheaper standing charges especially gas, good for summer when usage is lowest, no exit fees if change to another Eon Next tariff.

[Deleted User]

bristolleedsfan said:

Dolor said:

jbuchanangb said:

There has been some speculation on this forum that suppliers might start offering new fixed rate deals. I can confirm that I have been offered, and signed up for a new 12 month fixed rate deal starting in July, when my current fixed rate deal ends. My current deal is "Next Online V15", and the new one is called "Next Loyalty 12M Fixed Rate - July 23 Issue 1". The daily rates and unit rates are lower, both for electricity and gas, than what I am paying now under the Energy Price Guarantee.

By how much? Exit fees? Personally, I would have waited until the announcement of the next Ofgem cap. My gas rate today is 3.717p/kWh and the daily cost has been falling steadily for the past 2 months.

What you are paying today based on day ahead prices is irrelevant being as nobody can switch to that tariff without going on a waiting list of up to 6 months, current version can potentially go much higher (30pkWh cap)

Next Loyalty 12M Fixed Rate - July 23 Issue 1 -  loads cheaper standing charges especially gas, good for summer when usage is lowest, no exit fees if change to another Eon Next tariff.

That was not my point. There is an understandable rush to fix after a period of high prices which works very much in the supplier's favour - and they know it. My point was that prices are falling so it is logical to assume that this will be reflected in lower fixed price tariffs, and a lower Cap (this is decided primarily by looking in the rear view mirror). It follows that by taking out a fix now, the consumer could well end up paying more than he/she needs to unless they pay an exit fee.

That said, a no exit fee offer allays most of my concerns.

Sea_Shell

Have fixes lost some of their USP, now that we know the government would most probably step in again and protect us from truly eye watering high  prices.

Surely, as the cap is backwards looking, the only way is down for the foreseeable.

bristolleedsfan

Sea_Shell said:

Surely, as the cap is backwards looking, the only way is down for the foreseeable.

Current Cornwall Insight cap predictions is down a lot for July, up a bit for October and up a bit more for January ....

[Deleted User]

Sea_Shell said:

Have fixes lost some of their USP, now that we know the government would most probably step in again and protect us from truly eye watering high  prices.

Surely, as the cap is backwards looking, the only way is down for the foreseeable.

The Cap now includes an element of looking forward in an attempt to avoid the situation that led to all the supplier failures.

jbuchanangb

In a strange twist the confirmation e-mail from E.ON spells out different (higher) rates to those quoted online, and indeed still showing online when I log on to my account. Anyway, here are the rates for the proposed tariff, as on the web site:
Proposed Electricity rates (inc. VAT): Daily: 37.11. Units: 30.02.

Proposed Electricity rates (exc. VAT): Daily: 35.34. Units: 28.59.

Proposed gas rates (inc. VAT): Daily: 14.81. Units: 8.36

Proposed gas rates (exc. VAT): Daily: 14.10. Units: 7.96

jbuchanangb

Here is the screenshot showing current and proposed tariffs:

spot1034

Prices in the market now are lower than the average of the assessment period which has just ended. The price cap to be announced next week will presumably reflect that higher average, and that must surely give suppliers a bit of scope to undercut the price cap. Of-course there is nothing to stop them doing so for their SVTs, and presumably we might see some competition return there as well as for fixed term products.

wakeupalarm

jbuchanangb said:

In a strange twist the confirmation e-mail from E.ON spells out different (higher) rates to those quoted online, and indeed still showing online when I log on to my account. Anyway, here are the rates for the proposed tariff, as on the web site:
Proposed Electricity rates (inc. VAT): Daily: 37.11. Units: 30.02.

Proposed Electricity rates (exc. VAT): Daily: 35.34. Units: 28.59.

Proposed gas rates (inc. VAT): Daily: 14.81. Units: 8.36

Proposed gas rates (exc. VAT): Daily: 14.10. Units: 7.96

Those daily standing charges 14.81p for Gas look good.
Why are Gas standing charges able to be cut by so much but not electricity?