EON only passing on Govt reductions to Fixed Rate tariffs from January

thrifty46345

Scot_39 said:

Was crossing over the MSE table posting that said would - but have EOn modified their website since that email or wherever they said it would be passed on - in T&Cs say ?

They’re website still states unequivocally that it will be passed onto all, no ifs no buts !  We will wait and see I suppose.

A spokesperson for E.ON Next said: “When these savings start in April, we’ll pass them on in full to all our customers. No ifs. No buts. No small print. People are under pressure and they deserve to feel the benefit directly on their bills.”

dealyboy

thrifty46345 said:

Scot_39 said:

Was crossing over the MSE table posting that said would - but have EOn modified their website since that email or wherever they said it would be passed on - in T&Cs say ?

They’re website still states unequivocally that it will be passed onto all, no ifs no buts !  We will wait and see I suppose.

A spokesperson for E.ON Next said: “When these savings start in April, we’ll pass them on in full to all our customers. No ifs. No buts. No small print. People are under pressure and they deserve to feel the benefit directly on their bills.”

Link for the E.ON Next blog page published 17/12/2025 https://www.eonnext.com/blog/e-on-next-to-pass-on-every-penny-of-bill-savings-to-customers

sush40

thrifty46345 said:

This was my email response from EON regarding my tariff which ends in May 27, just out of interest.

“ I would like to clarify that you are currently on the Next Fixed 18m v23 tariff for both electricity and gas. With fixed tariffs, the standing charges and unit rates are agreed at the start of the contract and remain unchanged for the duration of the tariff. This means that any government reductions to standing charges or unit rates will not be applied to existing fixed tariffs like yours.

The reductions you mentioned will be reflected in new tariffs starting from January 2026 onwards. Customers on new or variable tariffs will benefit from these changes automatically. If you wish, you can choose to switch to one of the new tariffs that include the reductions, but we do not apply these changes retrospectively to existing fixed agreements.

I understand this can be confusing given the information on our website, which refers to the automatic application of savings for new tariffs and variable deals. Please let me know if you would like more information about the new tariffs available or assistance with switching.”

Not sure how I share this with MSE, any advice would be appreciated as a new poster.  Thank you.

Does it mean it's better to wait until January for a fixed tariff with EON and that the costs will be significantly cheaper from January if they apply the reduction of costs? Why would they start applying the reductions from January if they are not due until April?

wrf12345

Got to laugh, if you are on a fix that does not include the recent policy costs but will include the "£150 off" in April. won't they also want to include the previous policy costs that have not been added to the fix? Or any new ones that are added up until April. Really the £150 is more a Blair-ish sound-byte than anything else, by the time they have finished it will only exist in the sense that prices would have gone up even more in April if the £150 hadn't come off.

Scot_39

They should - and likely will when price new fixes as regularly do as a matter of course when other changes to pricing occurs - like the SoLR or the shift to higher SC lower unit rate balance on electric - but that of course isn't what some people are expecting - especially given the way it was announced. 

OR maybe even Perhaps the govt hopes will happen - to the millions on existing fixes.

Because when/if they add in even just the last 2 caps £62 - potentially even say £11 for another 6m - £22 for 12 extra on networks (£108 Ofgem network costs rise by 2031) that £150 nominal - risks being 50% less - £77/£66.  And I can just see the ML article and media headlines now.

And its £150 nominal as iirc the govt and ML article here suggesting it will largely apply on unit rates

https://www.moneysavingexpert.com/news/2025/11/energy-bill-cut-renewables-eco-martin-lewis/

3.5p off the electric / kWh rate, 0.35p off gas.

And note

"But for three years from 1 April 2026, the Government will fund 75% of these costs, reducing a typical household's electricity bill by £92 a year. This funding is set to end in March 2029, when these costs are expected to be added back to consumer electricity bills."

So can we expect a step £92 back in on top of say 2 of 5 years worth of that of that £108 Ofgem - if linear at c£22 pa for 5 years - bills already £44 higher than could have been - come Apr 2029 - so for RO and another year of the network costs.  So say £114 combined

And will the govt, many forumites and likes of ML then be demanding that £92 or even the full £114 applied immediately to all fixes?

Or perhaps as now announced policy - built in so fixes are £92 pro rata more expensive - than SVT - for every month beyond the Mar 29 deadline - in anticipation of rise.

Would only seem fair after all.  To break fixes in both directions for the same costs.

sush40

thrifty46345 said:

squirrelpie said:

IOWJJBTM2025 said:

Have a look on the MSE site :-

Will your energy fix be reduced by the Budget's '£150 a year off bills' from 1 April 2026?

It states that Eon have committed to existing fixes.

https://www.moneysavingexpert.com/news/2025/12/octopus-energy-autumn-budget-savings-fixes/

I think the point of @thrifty46345 's post is that the email to them contradicts what MSE stated. There thus is some doubt about what the situation really is.
I'd suggest that the OP share the email with MSE and MSE ask Eon to confirm what the situation actually is.

Hi thanks for your comment, yes that’s the point I was trying to make.

This was my email response from EON regarding my tariff which ends in May 27, just out of interest.

“ I would like to clarify that you are currently on the Next Fixed 18m v23 tariff for both electricity and gas. With fixed tariffs, the standing charges and unit rates are agreed at the start of the contract and remain unchanged for the duration of the tariff. This means that any government reductions to standing charges or unit rates will not be applied to existing fixed tariffs like yours.

The reductions you mentioned will be reflected in new tariffs starting from January 2026 onwards. Customers on new or variable tariffs will benefit from these changes automatically. If you wish, you can choose to switch to one of the new tariffs that include the reductions, but we do not apply these changes retrospectively to existing fixed agreements.

I understand this can be confusing given the information on our website, which refers to the automatic application of savings for new tariffs and variable deals. Please let me know if you would like more information about the new tariffs available or assistance with switching.”

Not sure how I share this with MSE, any advice would be appreciated as a new poster.  Thank you.

Has anyone else tried to ask EON if their current fixed tariff will benefit from the government discount in April? They seem to say that once it's fixed, the unit costs remain unchanged until the end of the contract and reductions wont be applied?