British Gas - £570m Profits Reported

alared

I have checked their "click 5" tariff and they are higher than the prices I have quoted for Ebico, as you well know.

Here is the link:

http://www.britishgas.co.uk//sitemap.html

Click on the price for the "click 5" and it comes up in PDF format and shows the gas price at an ASTONISHING 6.2p incl.vat for the first tier
followed by 2.601p for the remainder.

1. Tier 1 applies to the first 670 kWh per quarter and all subsequent consumption is charged at Tier 2.

Even their second tier, after you have used 670 kwh per quarter, is higher than Ebico`s 2.55p for ALL units of kwh`s

Check the electric too and you`ll find(as you already know)that they are dearer than Ebico

Case proved my dear Cardew [EMAIL="abuse@moneysavingexpert.com?subject=Reporting post http://forums.moneysavingexpert.com/showpost.html?p=8827765"][/EMAIL]

biv

Moral of the thread - if I may?

Look at the complete facts and don't take things by face value - especially when it comes from the media. Compare figures, do calculations, and research a little. It'll help you to to save money and decide who to do business with time and again - all whilst remaining emotionally neutral.

icefall

Cardew wrote: »

It does seem rather arrogant for you to state that you “know” Ebico is the cheapest company; but others cannot calculate the cheapest company for themselves. If I read your post correctly, you believe that I(and others) are incapable of working out our cheapest supplier.

The reason why Ebico is used as an example – indeed a standard - is because they are a non-profit making company with a justified reputation for good service. In the context of this thread, where profits are being discussed, it makes sense to compare prices of a non-profit making company with BG.

Yet even though they are non-profit making, they are not the cheapest for many people.

Ebico are very competitive for those with low consumption – particularly if you have a pre-payment meter. They are more expensive for those with higher usage and the ability/inclination to pay by Direct Debit.

If Ebico were cheaper for myself I would join them immediately – but they ain’t!

this post does not make sense when compared to the tariff quotes by alared above

MoneyMiser

Hi All,

Firstly I would like to take this opportunity to apologise for this post.

I am sick to death of everybody going on about EBICo. Yes they do provide a good service and are cheap for LOW users only. Will they still be the best when they put their prices up in March? Who knows

Cardew is right!! You lot keep going on about EBICo being the cheapest for everybody but if that was the case wouldn't everybody be with them and have put all the others out of business. Higher users are better off with some of the other tariffs like Click 5.

Again sorry about the post

MM

Cardew

alared wrote: »

Check the electric too and you`ll find(as you already know)that they are dearer than Ebico

Case proved my dear Cardew

Well let us look at the electric prices then!

BG Click 5 for Eastern Area charge:

23.636p for the first 125 Units a quarter - 500kWh a year

Then 7.27p for tier 2. Both prices include VAT

So someone using 5,000kWh per year will pay 445 pounds(before discounts for Direct debit and Dual fuel)

With Ebico @ 9.36p they will pay 468 pounds(and no discounts available)

However BG give a Dual fual discount of 60 pounds a year and a Direct Debit discount of 20 Pounds a year; which by my calculations make BG some 103 pounds cheaper.

Even someone using the average consumption of 3,300kWh per year will be marginally better off with BG after discounts.

However BG have raised their prices, and I wonder if Ebico will keep their at the same level?

alared

MoneyMiser

1. Who says Ebico are putting their prices up in March?

2. It was Cadrew who brought up the subject of Ebico in post number 18 when he said:

"The only flaw I can see in that plan is that for most customers Ebico is more expensive than profit making BG!!"

3. This was clearly incorrect as I have posted in number 32 which is the actual prices of "click 5", which also shows that high users are better off with Ebico.

4. I would like to apologise for yet again using this sentence,but I can`t resist it.

It really is amazing how someone (Cardew:mad: ) can defend a mugger (BG )who has just hit him over the head,stole his wallet
and then had the cheek to ask for more money to pay for a new cosh.:rotfl: :rotfl: :rotfl: :rotfl: :rotfl:

Cardew

Alared,

This thread is about the excessive profits that BG made last year.

I introduced the name of Ebico in the context of them being a non-profit making company, and yet their(pre increase) prices are comparable to BG's post increase prices - cheaper for some users, more expensive for others.

The point being that even if BG's profits were trimmed to a more reasonable level, it wouldn't alter our prices that much.

MoneyMiser

alared wrote: »

MoneyMiser

1. Who says Ebico are putting their prices up in March?

2. It was Cadrew who brought up the subject of Ebico in post number 18 when he said:

"The only flaw I can see in that plan is that for most customers Ebico is more expensive than profit making BG!!"

3. This was clearly incorrect as I have posted in number 32 which is the actual prices of "click 5", which also shows that high users are better off with Ebico.

4. I would like to apologise for yet again using this sentence,but I can`t resist it.

It really is amazing how someone (Cardew:mad: ) can defend a mugger (BG )who has just hit him over the head,stole his wallet
and then had the cheek to ask for more money to pay for a new cosh.:rotfl: :rotfl: :rotfl: :rotfl: :rotfl:

I'll tell you who says EBICo are putting their prices up in March...........................................................................EBICo!!!!

Are you aware that EBICo are just a selling agent of Southern Electric and are part of the Scottish & Southern Group?

Do you no that the Scottish & Southern group are putting their prices up in March as mentioned by Martin and on their website? I believe it says the start of British Summer time.

I doubt the Scottish & Southern group will leave EBICo as they are if all their other companies are going up in price but then you never know as EBICo are soooooooo great!! :rolleyes:

MM

amtrakuk

If this BG £570 million profit is true then yeah Im disgusted. Im sure all energy suppliers are on the same bandwagon - even Shell who have come into criticism for their profits lately. Sickening - the whole lot of them. But what are we to do about it. We all have to buy energy and fuel and these companies know it and have appropriate excuses for their price rise.

I heat, cook and heat my hot water with electricity. I phoned up BG and in 3 weeks I managed to rack up a whopping £90.00 electricity bill! Baring in mind if I still had Gas and electric Id be paying £120 a month - thats 50% more than I was paying 3 years ago for duel fuel discount!

biv

I think the 570m is scandalous - it's just not enough!

If BG customers have 16m customers and made £570m profit - it works out to be around £35.00 per customer. Divide that by 52 and it works out at 68p per week.

I'd gleefully treat any company to 68p per week (almost 7 x 10p mix-ups) for sourcing and managing my energy - I give more to the kids when they run an errand to the corner shop. Would you tip the sooty coal man 68p for delivering your coal?

Especially when they invested £1B last year in energy infrastructure and promise to do the same for each following year. When they're a British company investing in Britian. Or when they give 70% as a portion of all funds to vulnerable customers.

Who else wants my 68p? EBIco? come on then!

If your bill is high, check your meter readings. If they're correct and you're still unhappy - buy a few jumpers?

I don't think BG's profit is the issue here. I think it's the cost of what it takes to source your gas and electric that needs looking at - and we can only get a tighter grip on that by investing. The longer they leave it the worse it will get. And... they were loss making by the end of 2007, before they put up prices. I'm sure these are issues that the ombudsman are going to investigate.

They've already outsourced their back office to India whilst those remain work in shacks. I heard they're even stopping sending paper pay slips later this year to cut costs - imagine that!

These circumstances aren't unique to BG - but the media won't tell you that. They just want your attention so they can make money from you or to get the audience figures to help justify their license fees. Is there anyone else that thinks they are;

BigDave_Cash_Saver wrote:

"a bunch of thieving, disgusting parasites, bleeding every penny out of an industry where people have to buy the product or end up dead!"

When hospitals in South Africa have frequent power cuts, I think we're very lucky indeed.

So... I propose hugs and kittens as the solution. :grouphug: