Considering moving to variable DD for energy payments

Marvel1

I'm thinking of doing the same once my fixed ends September. Credit currently £300, DD set at £50 dual fuel, email earlier this month to reduce it to £15 a month, must be my 4th time since starting DD 15 months ago I had to increase it myself. The money is already in a bills account waiting to be taken.

Swipe

https://forums.moneysavingexpert.com/discussion/comment/82065831#Comment_82065831

Why wait? Do it now and they'll just deduct the bill amount from your credit and put your own money aside each month ready for winter.

Chrysalis

Not sure why people think a variable bill each month is a bad thing, how hard is it for people to simply not spend money they cant afford to spend?
A variable bill is good as you know quickly if your usage is out of control, and also get savings quickly if you take action to save energy.
It combined with actual reading assures accurate billing, no nonsensical estimated annual usage.
Also consider the rules on back billing and credit balances, you do not want a credit balance on the supplier.

TroubledTarts

https://forums.moneysavingexpert.com/discussion/comment/82066440#Comment_82066440

You would be surprised how many households live monthly to month with no spare money so this is why a well structured DD works for them.

Consider yourself fortunate,or more likely, interested in household management/bills/energy to have the knowledge.

Something that should be part of the school curriculum I would suggest.

Chrysalis

https://forums.moneysavingexpert.com/discussion/comment/82066461#Comment_82066461

Like many people I have had rough times.
Whether its fixed or variable if the annual cost is the same, it doesnt matter, it would just mean in the cheaper months I dont spend the same cash. Or before the winter months come, I do a bit of overtime, borrow, whatever it may be to get bills paid.
Fixed DD only makes things cheaper if its set too low, which I think is the real reason people benefit from it, bills are easier to pay when you not paying for your full usage.

If e.g. the summer bill is £40 on VDD, and is £60 on fixed DD, if they living month to month, where is the £20 coming from for the fixed DD, if they have no money spare after paying VDD?

Where I accept your argument is for people who have no financial discipline, so if e.g. they have a cheaper summer bill, instead of putting the money aside for winter, they have a night out instead.

Scot_39

Where I accept your argument is for people who have no financial discipline, so if e.g. they have a cheaper summer bill, instead of putting the money aside for winter, they have a night out instead.

To have financial discipline in that sense - or be wasting the money instead - makes the dangerous assumption they have enough income to cover all essentials in the first place, and have no debt - like the well over 1m homes on electric debt and arrears stats in Ofgem figures - sucking up any excess.

With upto 20% now - around 13.4 milliin in govt official measure of relative poverty in the UK as of 10 Jul 2026 report

https://researchbriefings.files.parliament.uk/documents/SN07096/SN07096.pdf

it is time to stop net zero additions to their electricity bills making their plight even worse. And i dont mean shuffling them to tax - i mean stopping them dead - no future expansion, rewriting existing contracts.