Fixed rate increased by Eon

dementiacare

I recently changed my monthly direct debit to a variable direct debit so I’m paying exactly for  how much I use each month in full.
I have since noticed that the unit rates and standing charges on my Gas and Electric fixed tariff until 2026 contract has been increased without telling me. Can they do this?

Sailbad

No they can't. 
You're on a fixed Tariff paying by dd so nothing has changed. What does it say on the "your Tariff" section on your bill?

dementiacare

Next fixed 24 months V6 fixed term ends 18th 01 2026

The rate and standing charge amounts are showing an increase 

Scot_39

It may be a mistake, but may be policy.

You need to ask.

But they should have warned you if was going to change.

You have changed your payment terms mid deal - even if the cash is still taken by DD - its arguably up to them to set how that impacts your rates.

Before they controlled your DD account balance to maintain no doubt a credit bias - positive cash flow and no risk of default - to one afaik designed to pay in arrears - after consumption.


There is arguably no version of DD SVT pricing by Ofgem for the MVDD model of paying for energy after use.


The DD rate has or at least in details ahead of first cap c2018 contains a clear presumption towards continuation of DD payment credit balances reducing suppliers working capital costs for DD  - and standard credit increasing them by paying in arrears - there term not mine - simply meaning after supply (and the increased default risk). 

MVDD might by a shorter delay - but it's still afaik paying after use - and on a debit biased cycle.

molerat

It is certainly not policy with Eon, I pay by variable DD and prices are normal DD rates.

Have you had a bill yet as payment method is clearly shown and their is a note

Remember, if you cancel your DD your prices will increase.

And ...... are you reading correctly and not confusing the including and excluding VAT rates ?

la531983

The likely answer is as above. Divide the higher unit rate stated by 21 and then multiply by 20 and it will be the same as the lower unit rate figure, they have simply added VAT on

dementiacare

I’ve not yet had my first bill statement since changing to variable payment,
though having checked previous statements and looking at my tariff on my online account since the change
there IS an increase in unit and standing rates on both electricity and Gas.
I am still waiting for a response from Eon

Swipe

Phone them up and raise a complaint, they take forever to answer emails and then just fob you off.

MeteredOut

dementiacare said:

I’ve not yet had my first bill statement since changing to variable payment,
though having checked previous statements and looking at my tariff on my online account since the change
there IS an increase in unit and standing rates on both electricity and Gas.
I am still waiting for a response from Eon

Can you share specific details on your tariff unit rates (making it clear if they are including or excluding VAT) and also what is showing online? 

Eon might (rightly) say for you to wait for your actual bill.

molerat

You certainly need to clarify because an Eon bill does not show VAT inclusive rates and the on line account does not show VAT exclusive rates so the 2 available views show different amounts for the same product.

So, what are the rates shown on the old bill and what are the rates shown in your on line account ?