new octopus 14mth fix

Telegraph_Sam

There must be a reason but why no exit fees on flexible including smart / TOU tariffs?

MWT

Telegraph_Sam said:

There must be a reason but why no exit fees on flexible including smart / TOU tariffs?

They are flexible and can change to reflect changes in wholesale costs at relatively short notice so they do not need to be hedged to the same extent as a fixed tariff.

This means there is a much smaller risk of having bought energy at a higher price that you can no longer sell to a customer as they have left the tariff.

So the exit fees provide a return to cover the loss if the customer leaves.

bristolleedsfan

MWT said:

Telegraph_Sam said:

I have yet to check if Tracker returnees now sign up to an exit fee contract. Ditto Agile ... and all stations west.

You will not find an exit fee on a variable tariff, that would make no sense.

Fixed tariffs are a different matter and you should always look for any exit fees any time you consider moving to a new fix. The exit fees add balance to the tariff in that they commit to providing energy at a fixed price and you agree to take the tariff for a fixed period, or pay a fee to exit.

Fixed tariffs with no exit fee are a risk to the supplier only, so nice when they are available but historically not typical.

https://x.com/ClemCowton/status/1471232391490555907  -  Director of External Affairs

@OctopusEnergy Group

bristolleedsfan

MWT said:

Telegraph_Sam said:

I have yet to check if Tracker returnees now sign up to an exit fee contract. Ditto Agile ... and all stations west.

Fixed tariffs with no exit fee are a risk to the supplier only, so nice when they are available but historically not typical.

British Gas. Eon, Scottish Power historically did not charge exit fee for change of tariff, currently no exit fee if change to another fixed tariff.

EDF prior to energy crisis as well as currently direct via EDF website fixed tariff with no exit fees.

Telegraph_Sam

Something to pursue in the Tracker forum/thread? 

 I'd certainly be attracted by a Tracker tariff with no exit fee if that was on offer

wrf12345

Octopus advert on Facebook saying they are now offering the lowest fixed tariff in UK, the latest one is more than a penny down but as mentioned now fifty quid to get out of it, s/c is the same. Suggests that cheaper tariffs may be on the way but personally hoping for zero s/c tariffs later this years so the fifty quid exit is no fun for me.

Lorian

northernstar007 said:

zexpe said:

inkydolphin said:

The constantly changing fixes just make you feel ripped off when you forget to check the latest fix for a few weeks and miss out by a few days. Great that you can switch for free of course. I've now set a DAILY reminder to check for new tariffs!

It's so tedious having to check tariffs all the time and then go through all the malarky of changing them that I'm beginning to think it might just be easier to go back to the Tracker!

wont have to do it if signing up to a new tariff with the £100 exit fee, so i'm holding out its now a game of poker 

Poker indeed. I am holding too.

Telegraph_Sam

I say to myself that it's not worth sweating blood & tears just to achieve some marginal saving if this offered from a newly introduced version. Whilst being stung by 2 x £50 exit fees could be painful and should certainly be part of the factors when deciding to switch, or not.
I don't know if it can be assumed that any variable or smart tariff will never have an exit fee. I have my doubts.

vic_sf49

wrf12345 said:

Octopus advert on Facebook saying they are now offering the lowest fixed tariff in UK, the latest one is more than a penny down but as mentioned now fifty quid to get out of it, s/c is the same. Suggests that cheaper tariffs may be on the way but personally hoping for zero s/c tariffs later this years so the fifty quid exit is no fun for me.

I'd just seen that too, and came to post a screenshot of it. Limited numbers of this tariff available apparently.....

northernstar007

cant find that offer on fb,twitter or my offers, sounds to me its the current deal, is that £250 cheaper than the current cap