Octopus 12 month fixed price ends - what should I choose?

Baldytyke88

https://forums.moneysavingexpert.com/discussion/comment/82167026#Comment_82167026

The energy companies will always make a profit, its the customers that are gambling. I have previously always taken a cheaper fixed energy deal, yet my bills keep going up.

bristolleedsfan

https://forums.moneysavingexpert.com/discussion/comment/82167229#Comment_82167229

According to Octopus Energy Director Of External Affairs it is whether exit fees are charged as to whom is gambling.

QrizB

A tracker tariff on the other-hand simply follows the market ...

Um, sort of.

Octopus publish the various Tracker formulas here. Using my region (Southern region) as an example, the latest formula for the electricity price is:

Electricity unit charge: (W x 1.27) + 10.048 p per kWh

You'll see that the wholesale price W is multiplied by 1.27. So increases in electricity wholesale prices are inflated by 27% when the retail price is determined.

I don't think any of the retailers' costs that are added to the wholesale price scale with W like this, so it seems that in times of higher energy prices Octopus makes extra profit from Tracker customers.

Agile is "worse"; the electricity unit price in Southern is ( W x 2.1) p/kWh with an extra 16.51p/kWh added from 1600-1900. Outside the evening peak, Octopus are relying on the 2.1 multiplier to make sure they cover their fixed costs; this means Agile goes negative as soon as wholesale prices go negative, but if wholesale prices are high the customer sees 2.1x the pain.

MWT

https://forums.moneysavingexpert.com/discussion/comment/82167229#Comment_82167229

If it was that simple how did we lose so many suppliers back in 2021…?

If your bills are going up then you are either using more energy or the rates on the tariff have gone up.

Never compare tariffs just by using the estimate of your annual cost, look at the standing charges and unit rates…

Stevie1

https://forums.moneysavingexpert.com/discussion/comment/82165896#Comment_82165896

I think they're the only supplier to not charge any early exit fees. I've been looking for a fix myself, and the market is super fast moving. Daily.

bristolleedsfan

https://forums.moneysavingexpert.com/discussion/comment/82167698#Comment_82167698

EDF Freephase Static 24 Month fix, three time periods a day, £100 exit fee is waived if signed up to EDF app only Flextras reward scheme, smart meter required, can work out cheaper than standard fixes if 4pm-7pm usage is minimised, SC approx 7p per day less than SVR

Eon Next offer similar called Smart Saver, 12 and 24 month fix no exit fees albeit with a shorter cheap over night rate 2am-5am compared with EDF Freephase Static 11pm-6am

https://www.edfenergy.com/gas-and-electricity/freephase

https://www.eonnext.com/tariffs/next-smart-saver

Stevie1

https://forums.moneysavingexpert.com/discussion/comment/82167769#Comment_82167769

👍️ If only my teenagers didn't insist on being at home 4-7pm!

prowla

As an aside, the equipment suppliers are at it too: I had a battery added to my solar system at the end of August and I called yesterday to order an extra one: the price has gone up by 40%; after a bit of haggling they said they could bring it down to just 20% extra, but they'd be losing at anything less.

I'm "thinking about it".

(They also told me if I bought elsewhere it would effectively void my warranty in that they could suggest the extra item was the cause of any issue.)