Fixing in or staying variable

B0bbyEwing

Since for a long time now the general advice has been to stay as you are because there's nothing better out there, I've not really paid too much attention to any changes that there may have been. Only this week have I started to take a look & noticed that my current supplier (Shell Energy) are finally offering a fixed deal again which while the standing charge for electricity is more than I'm currently paying, when I take in to account the whole package of gas & electric, I should be better off going fixed, just ... but just is still better off.

I had a quick skim on the newsletter which contained phrases like "our best guess" and "should". Having personally been stung by waiting it out on mortgages (yep I know, different ball game but still) I'm more than likely going to go fixed & stay with Shell. I'll have to have a better look to see whether it's even better to jump ship & go elsewhere but the only thing that's guaranteed is the fixed deal that's on the plate right now. Tomorrow may be better but may not & I don't think i'll be waiting it out to find out because as is usually the case (with me) I wait it out too long & end up worse off.

I'm sure most of you have kept more regular tabs on the situation than I have. Just curious what others are doing. Are many of you waiting it out, staying as you are, fixing in while it's there?

[Deleted User]

Follow Martin’s advice and look at Fuse Energy (or maybe not). Bear in mind that Shell Energy Retail is currently up for sale. You may find that your Shell Energy contract is assigned to another supplier in the next few months. 

lp_in_Brighton

I was recently tempted by an offer from my supplier Eon. I switched to a one year fix on its Next Loyalty v4 tariff, which maintains electricity and gas unit prices at the current variable level, but crucially reduces daily rates to 41.2p for electricity and 23.1p for gas. This saves approximately £45 per year in fixed costs, furthermore the company offered a £50 switch deal, so annual combined savings work out at around £95. There is admittedly a heavy £75 per fuel penalty if I switch supplier, but for the time being I am very happy.      

Alnat1

If you want to be sure which company you end up with, might be better to switch away from Shell now.

Most of the bigger companies have announced fixes recently with rates similar to/slightly higher than the current SVT if you need the peace of mind of knowing there'll be no big price hikes during the next 12 months. 

If you're happy to accept a little more risk, Octopus have Agile/Tracker tariffs with prices that change half hourly/daily and have saved people a lot of money recently with very low rates (even paying you to use electric on a few occasions). Prices are likely to go up at times over winter (depending if the wind blows or not!) or if a world event impacts energy so you have to keep a close eye on things. You can switch to SVT fairly quickly if things look bleak, there's no tie in.

In the end, it's what suits you, don't let a few very energy conscious people on a forum sway your decision if you prefer a no risk fix.

B0bbyEwing

[Deleted User] said:

Follow Martin’s advice and look at Fuse Energy (or maybe not). Bear in mind that Shell Energy Retail is currently up for sale. You may find that your Shell Energy contract is assigned to another supplier in the next few months. 

Wasn't aware of this. Thank you. 
If I fix in now & then they're sold ... what happens to my fix? Can it change as it will be a different company?

Never heard of Fuse energy, which puts me off. The last time I went with an unknown company there were problems in the end & when my mother went with an unknown company there were all manner of billing problems that I think she still didn't get resolved.

Alnat1 said:

In the end, it's what suits you, don't let a few very energy conscious people on a forum sway your decision if you prefer a no risk fix.

Very true.

Although I'm glad I made the thread, even though I thought the majority of the responses were going to be "doesn't matter what we're doing, do what you're going to do"

because without making it, I wouldn't have found that out about Shell Energy, which means I'll now take a closer look at my options & possibly even choose differently.

Was a nice perk getting 3% discount on (car) fuel as well. Nothing lasts forever though.

Swipe

I'm going to wait for the October announcement and then see what fixes are available then. Fixing is always a gamble but if I miss out by not fixing, I'll just use less over winter to compensate.

[Deleted User]

If I fix in now & then they're sold ... what happens to my fix? Can it change as it will be a different company?

Your existing contract would just move - as is - to the new supplier. The new supplier may offer you a new contract but it cannot change your existing contract terms without agreeing the changes with you first. 

Scot_39

If you are happy with deal and looking for stability over term - then by all means go for it.

Others are taking other fix offers knowing they have soft exits without fees should  a better deal come along say in Oct etc.

Others are waiting - perhaps in vain - for cheaper fixes in future.

There is no right or wrong.
 
What are the exit fees and terms - if want to move tariffs internally and/or move supplier - before or specifically in this case after Shell sale ?

RelievedSheff

We are sticking it out on the SVR for now and probably for this winter.

Our supplier, Outfox the Market, have given existing customers a 5% discount on unit prices over the price cap so we would struggle to find a better deal at the moment.

We will probably review the situation after next winter and see if any competitive fixed deals are on offer. 

The_Green_Hornet

RelievedSheff said:

We are sticking it out on the SVR for now and probably for this winter.

Our supplier, Outfox the Market, have given existing customers a 5% discount on unit prices over the price cap so we would struggle to find a better deal at the moment.

We will probably review the situation after next winter and see if any competitive fixed deals are on offer. 

https://www.ofgem.gov.uk/publications/outfox-market-pays-ps18-million-failing-report-its-financials

michaels

I would personally fix as I think the scale of any fall in prices is likely to be small but rises could be very big.  The only thing to make me question this is what the govt might do if prices were to shoot up again the winter before a general election which probably puts a cap on the increases (perhaps at the previous £2500 level).