Changes To StayWarm

Chaufeurse1956

I am disgusted with Staywarm and have taken them to task today. My parents, both in their late 70's, have used them for some years now. They have just received their yearly 'increase' from this company - a 40% increase on their monthly payment for a tiny 2 bedroomed bungalow. They increased their monthly figure from £69 to £97 claiming my parents are in the 'medium' user bracket. Having done my own calculations, from their useage last year to this, they seem to deem that the 3.5% increase in electricity my parents have used warrants a 40% increase. The joke is they have also used 3.5% more on the gas but Staywarm claim that is below the average. Staywarm claimed that these figures were warranted and approved by whoever approves these increases - 40 bl@@dy percent - get real Staywarm. This is nothing less than legalised extortion. It appears the whole idea of keeping the elderly warm and safe in the knowledge that their small homes would be heated in the winter no longer mean much to Staywarm.

My husband and I are also on Staywarm with a slightly bigger two bed home and our prices only increased by the standard 15%. As we heat one area with a blow heater I am still trying to work their logic out.

Guess I will have to await the outcome of further discussions with them tomorrow and may have to investigate other companies prices for them.

Big thumbs down for Staywarm at the moment.

Biggles

Chaufeurse1956 wrote:

Big thumbs down for Staywarm at the moment.

Can't see why. Even at £97, I suspect it might still be a fairly competitive price, as you'll find when you try the switching sites.

Staywarm were heavily subsidised originally, but under the current regime they are having to price more realistically, and that means taking usage into account. You will find references on here to what constitutes 'high' and 'medium' usage.

However, the one loophole that seems to be left is that of benefits: if either of your parents is in receipt of any benefits (which, I think, may be means-tested or disability-related), Staywarm are obliged to reduced their charges to a lower level.

Chaufeurse1956

Biggles wrote:

Can't see why. Even at £97, I suspect it might still be a fairly competitive price, as you'll find when you try the switching sites.

Staywarm were heavily subsidised originally, but under the current regime they are having to price more realistically, and that means taking usage into account. You will find references on here to what constitutes 'high' and 'medium' usage.

However, the one loophole that seems to be left is that of benefits: if either of your parents is in receipt of any benefits (which, I think, may be means-tested or disability-related), Staywarm are obliged to reduced their charges to a lower level.

Hi Biggles,

My parents live in a tiny bungalow and I don't believe the increase is justified - 40% increase in their monthly payment is way too high. I agree it was subsidised originally but now they are making up for it. It would appear that the original idea to keep the elderly in a situation where they didn't worry is no longer viable.

Cheers,

Chris

jem16

Chaufeurse1956 wrote:

Hi Biggles,

My parents live in a tiny bungalow and I don't believe the increase is justified - 40% increase in their monthly payment is way too high. I agree it was subsidised originally but now they are making up for it. It would appear that the original idea to keep the elderly in a situation where they didn't worry is no longer viable.

Cheers,

Chris

I just had the same discussion with my parents last weekend. Their payments were to rise from £89 to £122 :eek: Apparently their electricity is above average although not sure why.

I phoned Powergen and asked about their Online Extra Saver. That would be £87pm so we arranged to have them switch to that. My parents do have internet access but if necessary I can enter their meter readings and print off a bill for them.

Biggles

Chaufeurse1956 wrote:

40% increase in their monthly payment is way too high.

It may just be that the previous rate was too low, rather than that the increase is too high. Have you tried putting their usage into a price comparison site to see? We're fairly high users and were going to change this spring after our latest increase, but it's going to be a pretty close call as to whether the others are any cheaper.

It would appear that the original idea to keep the elderly in a situation where they didn't worry is no longer viable.

Not sure it was ever profitable; I think the huge publicity it got when it was cheap overwhelmed them.

I take it they're not in receipt of any benefits?

Chaufeurse1956

Biggles wrote:

It may just be that the previous rate was too low, rather than that the increase is too high. Have you tried putting their usage into a price comparison site to see? We're fairly high users and were going to change this spring after our latest increase, but it's going to be a pretty close call as to whether the others are any cheaper.


Not sure it was ever profitable; I think the huge publicity it got when it was cheap overwhelmed them.

I take it they're not in receipt of any benefits?

Hiya Biggles, Thanks for your input. Nope, no benefits as they worked hard all their lives and saved money. Mother is a very honest person and would never dream of hiding away savings they had just to try to get benefits or money towards their council tax - they don't have any savings now which is why it is a major worry. I am going to do some further comparisons for them after she has spoken to Staywarm. Their tiny bungalow has cavity wall insultation, the loft is more than adequately insulated.

During the winter hubby and I actually leave our gas on permanently - it's never off - mother switches hers off. The water is constantly hot and we only turn up the thermostat for the heating as necessary. We use a living flame fire at night and heat up the back porch area with a blow heater to keep a bad chill off - yet we were only increased by an acceptable 15% - this is the part that is so confusing - mother is more frugal than we are, has a smaller home and gets hammered! I also object to the fact that Staywarm claim the 3.5% increase on the gas my parents used was still within the 'low user' bracket whilst the 3.5% on the electric made them a medium user. Their guidelines must be very low. My parents actually used 219.32 units of electric more this year than last - does that really warrant an increase of £27 a month - I don't believe so. Perhaps the fairer way would be for Staywarm to give the 'low' user figures for the gas and electric to their customers and they then have the option of paying any overage. For example, how much, on average, is a kw now? 10p say. Based on their 219.32 increase at that 10p their extra usage is £21.93. So, how can Staywarm warrant banging their bill up by £27 a month? OK, so I agree that utilities do increase although I understand that at the moment prices have dropped a fraction. It appears outrageous that using 219.32 extra units in one year warrants that amount of increase.

I'll await the outcome with Staywarm and then do further checking. Thanks again Biggles.

Regards,

Chris

Biggles

I'm afraid it's not a matter of how much more she may nor may not have used; Staywarm prices have gone up significantly for the simple reason they were too cheap before!

Mine went up 37% and I'd used the same as the previous year, and it's 74% higher than the previous year! They only now seem to have reached the same level of charges as the competition, so I'm just thakful for having had a few cheap years.

Chaufeurse1956

Thanks Biggles - just had another chat with mother - we didn't realise that the year before her payment had shot up by 45% too. When she started it was £45 a month for the year, then up to £69 a month for the year and the latest being the £97.

I am going to do comparison checks on it now but do thank you for your input. I still think it's legalised extortion!

Cheerio,

Chris

MoneyMiser

Biggles wrote: »

I'm afraid it's not a matter of how much more she may nor may not have used; Staywarm prices have gone up significantly for the simple reason they were too cheap before!

Mine went up 37% and I'd used the same as the previous year, and it's 74% higher than the previous year! They only now seem to have reached the same level of charges as the competition, so I'm just thakful for having had a few cheap years.

Hi All,

I'm new on this website so thought I'd write my first post here.:T

Biggles is correct, Staywarm prices have gone up dramatically because they were too cheap before and losing money. It seems PowerGen are trying to get as many people off this tariff to start making some of their money back.

I would recommend anyone who thinks they are paying too much to get their annual usage in kWh and enter it into a comparison site and find out what other suppliers would charge you for that usage. You may be pleasantly surprised with how much you can save :rotfl:

Gal

No longer relevant.