Scottish Power Flexi Tariffs

otb666
otb666 Posts: 696
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Hi my 2 year fix is ending and i was looking at SP Tariffs A lot of them have Flexi in the name and is showing 12% cheaper than SVT but they are not fixed I dont understand how the prices will be adjusted will they always be 12% cheaper for the whole period I cant get them on phone to ask and when i look at terms is just says will be adjusted inline with industry standards every quarter. Dont think i am going to risk it but dont want to miss out on 12% discount on SVT
35k savings no debt

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  • Scot_39
    Scot_39 Posts: 1,670
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    edited 2 February at 4:44AM
    Effectively from this post 


    It seems only the wholseale pricing component is fixed, but other charges - such as Ofgem (govt) ploicy changes operate on a sort of pass though basis - they change - up or down - so does the component in the prices you are charged. 

    So the prices could in fact go up if certain Ofgem charges increase, but not if wholesale rates go up - but I believe like a conventional fix - wont fall if wholesale rates fall.

    And given the CI forecasts are for a c16% cap drop in Apr, c23% from current in July and a small increase for Q4 to 20% below current.
     

    if correct - like any old style fix - even at 12% discount given forecast drops - you could end up paying more next winter than SVT

    Theres a brief summary on it here too - amongst others available - dated yesterday - but the version there also has it linked to boiler plan. Unless you look at their Cancer flexci special.

    Note it's in the more complex section

    The MSE article suggests the variable components are a small part of the overall price - but doesn't on a quick scan quantiy the split.

    There is one Ofgem cap tracker (the EOn pledge) that will stay c£50 below SVT cap - but still conventional fixes avaiable with a discount of upto 9-11% across a few suppliers - it's just as prices are expected to drop - at least currently - some who care more about prices than security - would not recommend them.

    But the discounts on those fixes seem to at least be building in a decent discount - given a couple of heavy months use remains for many at the SVT rates if don't fix.


  • otb666
    otb666 Posts: 696
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    edited 2 February at 9:35AM
    Thank you.  I think i will just go on SVT rate 1/3/24 then as I dont want a 12% discount for one month and then miss out on possible 16% reduction from 1/4/24.  I actually used to work in the industry and was struggling to understand it all so very grateful for your comprehensive explanation.
    Personally i dont want to switch just for £50 a year saving.
    35k savings no debt
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