Fixed deal has ended, with yearly cost going up by around 45%

Sammy5

Hi all,

I received an e-mail today to tell me my Exclusive Fix June 2023v3 deal with British Gas has just come to an end.  It says I'm being moved to the variable rate, so I don't need to do anything... however, as it's rising from an estimated £900 to £1600 a year I feel inclined to try!  I've been reading about some of the changes that are going on and although I struggle with some of the detail, I my understanding was that I wouldn't see a rise quite like this.  Is this normal and are there any options?  When I logged into my account I could see a deal to fix for around £1700 a year, so only a little more than the variable.  But from what I've seen it might not be a good idea to fix right now?

Perhaps I've just been luck to have been on a cheap fixed deal all this time, but I wanted to check with someone more knowledgeable.   So any advice/help would be greatly appreciated.

Thanks,
Sam

Ayr_Rage

A rise of that order is to be expected.

Most available fixes are just above the level of the current SV tariff so it's very much a roll of the dice in taking one, look at the autumn and winter price predictions to see why.

Sammy5

Ayr_Rage said:

A rise of that order is to be expected.

Most available fixes are just above the level of the current SV tariff so it's very much a roll of the dice in taking one, look at the autumn and winter price predictions to see why.

Thanks, much appreciated   It did have the following wording when I was looking at the option of fixing: 'We can offer our existing customers a fixed tariff so you have price certainty. And, if we bring out an even better fixed deal in the months to come - you can swap to that for free.​'.  So on that basis, assuming that other energy providers don't offer something much better then I guess fixing might not be such a bad idea.  I used the MSE 'do I fix?' calculator and it came out as borderline, so I'm leaning more towards fixing as it stands.

Ant555

Sammy5 said:

 my understanding was that I wouldn't see a rise quite like this. 

Perhaps I've just been luck to have been on a cheap fixed deal all this time, 

My 2 year fix ended May this year so, like you, I was isolated from all the recent turmoil but my estimated bills are now roughly double what they were. 

Ive been looking at fixed rates (slightly higher than SVR and £100 per fuel exit fees) but have decided to see how things work out over then next few months especially as its summer and I have also reduced my usage quite a bit so ill benefit from using less and paying a lower rate over the next period.  The figures you quote suggest you are possibly a "below average" user so there may not be too much leeway to reduce your annual usage much below what is is now.

Ive typically taken out a fixed energy rate so this is the first time for probably 12-15 years that I am on the variable rate but my thoughts are that its the best option for me for the next few months - ill wait to see what happens in the market before making my next move.

polygoose

I was on a British Gas Green Future Jun 23v1 Tariff which finished in June. I was automatically switched to the Standard Variable tariff. I want to do my bit for the planet, and have recently installed solar panels and batteries, and I am happy to pay a bit more for energy if I can be sure I am using the greenest energy possible. However BG will only offer me one fixed tariff (fixed Aug 24 V7) which is not green. Does anyone know when and if Green Energy fixed tariffs will be available again?

Spoonie_Turtle

polygoose said:

Does anyone know when and if Green Energy fixed tariffs will be available again?

They appear to be available when I click through on their site.

[Deleted User]

Hi,

45%, that's cheap, I've just come off an 18 month BG fix at end of June, overall cost has doubled, was expecting that, about £500 in credit, so building that up, getting a good balance ready for next winter.

Gerry1

frugalmacdugal said:

about £500 in credit, so building that up, getting a good balance ready for next winter.

Whoops !  That's not very frugal... you should be putting that balance into a savings account so that you'd be getting the interest, not your energy supplier.

[Deleted User]

Hi,

aye Gerry, BG did give me a refund of about £400, which I bounced back in, just old fashioned, wanting a good balance ready for winter usage,

Peter999_2

polygoose said:

I was on a British Gas Green Future Jun 23v1 Tariff which finished in June. I was automatically switched to the Standard Variable tariff. I want to do my bit for the planet, and have recently installed solar panels and batteries, and I am happy to pay a bit more for energy if I can be sure I am using the greenest energy possible. However BG will only offer me one fixed tariff (fixed Aug 24 V7) which is not green. Does anyone know when and if Green Energy fixed tariffs will be available again?

I don't understand how it can be called a Green tariff.  The electricity that comes into your house is not specified by your supplier - it's the same electric that everyone uses, sometimes using fossil fuels, other times using renewable energy.

Gerry1

Peter999_2 said:

polygoose said:

I was on a British Gas Green Future Jun 23v1 Tariff which finished in June. I was automatically switched to the Standard Variable tariff. I want to do my bit for the planet, and have recently installed solar panels and batteries, and I am happy to pay a bit more for energy if I can be sure I am using the greenest energy possible. However BG will only offer me one fixed tariff (fixed Aug 24 V7) which is not green. Does anyone know when and if Green Energy fixed tariffs will be available again?

I don't understand how it can be called a Green tariff.  The electricity that comes into your house is not specified by your supplier - it's the same electric that everyone uses, sometimes using fossil fuels, other times using renewable energy.

Although the electricity coming down the wires is a mixture from many sources, it's effectively unscrambled so that you can choose and be billed by by your preferred supplier.  In other words it's hypothecated.

The same principle means that you can choose renewable energy.

Whether it's really green or just smoke and mirrors with funny certificates is another matter, but the hypotheticaton principle is sound.