Should I fix my energy and abandon cheaper fix im on?

housebuyer143

I have a fixed tariff until July 26 with BG and with the news about global gas prices rising 43% - I am questioning whether it's worth agreeing a new fix now at £7 more a month, fixed until March 27.

Is the consensus that the energy cap is going to go sky high now? Is that additional £50 I'll lose by moving my fix now worth it?

I was looking on Saturday funnily enough and I can see BG have pulled 2 fixed tariffs on offer since then.

MattMattMattUK

No one knows, prices surge on uncertainty, if Iran's military is wiped out in a few weeks prices will drop almost all the way back.

Additionally any fix available today will be pricing in the increases already.

housebuyer143

https://forums.moneysavingexpert.com/discussion/comment/81907114#Comment_81907114

The fix on offer is the same price I saw on Saturday so it seems reasonable. It's hard to know, isn't it 🥲

Newbie_John

You could use this time to try some ToU tarriffs?

molerat

I wouldn't trust what you see on comparison sites at the moment, EonNext have pulled ALL their fixed tariffs and I suspect others shown on comparison sites are no longer valid.

luci

https://forums.moneysavingexpert.com/discussion/6657763/should-i-fix-my-energy-and-abandon-cheaper-fix-im-on

If I am understanding this correctly, you are thinking about switching for a difference of £34 more for the next 12 months? The current spike in gas prices is far lower than the spike when the Ukraine war started. 12 months is a long time and a lot can change during that time. Personally, I would wait and see how things pan out. If the events of the past few days have spooked you, perhaps switching is the right thing for you.

debitcardmayhem

Heating season is winding down, US natural gas is 25+% down on 12 month basis, 15 % of UK gas supplied from Qatar. I would wait if you don't need to change, that's not a recommendation but what I would do personally.

Markets get spooked easily , AI anyone ?

Catscradle

I was looking at this yesterday, slept on it as I would have had to pay an exit fee, and today found the fixes I'd been looking at with Sainsbury's (same as e.on) had been pulled. So I've signed up for another 1-year fix with my current supplier, Scottish Power, although I had been planning to switch - it appeared to go through but they take a long time to confirm.

gpman

https://forums.moneysavingexpert.com/discussion/6657763/should-i-fix-my-energy-and-abandon-cheaper-fix-im-on

We know what will happen to the price cap in April. It will drop by £117

Anything beyond that is a prediction.

Only EDF appear to have issued a prediction since Trump decided to attack Iran 3 days ago.

EDF are currently predicting a £65 rise in July with small increases in each of the following two quarters, but still remaining less than the price cap today.

But predictions are just that, predictions. No one knew last week that Trump was going to attack Iran; a month earlier he was talking of attacking Greenland. In his re-election campaign he spoke of avoiding US citizens dieing in oversea military conflicts, because he believed it wasn't for America to be acting as the world wide peace keeping force.

The EDF Prediction could also reflect a 'knee jerk' reaction to what has happened over the last 3 days, they were predicting no significant change following the known price drop in April only last week.

But what happens to the Price Cap is nothing much to do with fixed rate tariffs. The Price Cap is established according to what has happened in the past; fixed rate tariffs reflect more of what the market predicts will occur in the future.

I wouldn't be looking at ditching a fixed rate I had decided to buy which still had 5 months to run, especially if it would incur early exit fees, unless there was something available today that was significantly cheaper (taking into account early exit fees where applicable)

Anything could happen in the next 24 hours, let alone the next 5 months

Lorian

There could be a lot to be said for a fix that takes you past next winter.

housebuyer143

Thanks all, I read through your comments and gave it more thought and decided to keep my fix until July. I have very good electric standing charges and rates currently and the one it was offering in terms of electricity was just not great. As that's what I use more in think it would be best to stay on what I am. Maybe I pay more, maybe I don't.

Hopefully this unrest is short lived and I get another nice fix in July 🤞